BrandShield Secures $3.38M Funding, Exits from London Stock Exchange

New York, NY - BrandShield, a leading global cybersecurity company, today announces its $3.38 million capital raise and strategic exit from the London Stock Exchange (LSE) after close to 3 years of public trading and significant growth while publicly traded. Following a General Meeting held by the company on October 13 that approved the delisting, BrandShield is private again to accelerate its growth stage and increase the value of the company.

Since its Reverse Takeover (RTO) on the LSE in December 2020, BrandShield has seen remarkable growth and financial success. Notably, the company’s Annual Recurring Revenue (ARR) has surged from $2.87 million to $9.71 million in the first half of 2023, with ARR reaching $9.85 million in August 2023. BrandShield also achieved during H1 of 2023 a revenue growth rate of 56.3% (reaching $4.42 million) while simultaneously reducing its net loss for the period by 53% (to $2.05 million), and increasing its gross profit from 48% in H1 2022 to 68% in H1 2023, through technological and operational improvements.

“Our tenure on the London Stock Exchange allowed us to raise capital and expand, positioning us among the top three companies in Digital Risk Protection solutions, according to Frost & Sullivan,” said Yoav Keren, Founder and CEO of BrandShield. “The LSE market’s response to our exceptional performance did not align with expectations, a common challenge faced by growing SaaS companies, so our board of directors decided the best path forward is for us to delist the company from the London stock market to create more value for our shareholders. This fundraise represents a resounding vote of confidence from our investors, both longstanding and newer additions.”

BrandShield’s decision to exit the London Stock Exchange is rooted in the disconnected behavior of the stock market and stock price when compared to the company’s exceptional performance in the market, burgeoning revenues, and a rapidly expanding customer base. Despite its healthy growth and positive news, the stock price experienced a downturn, reducing the share price for potential investors to levels that did not accurately represent the company’s true value in the view of the board of directors.

BrandShield successfully raised $3.38 million in funding by issuing new shares to existing investors. Additionally, BrandShield has extended an opportunity for its shareholders to invest in new ordinary shares at a value of 5.68 GBX per ordinary stock. This strategic funding move will be accompanied by the issuance of new options to the founders, managers, and employees of the company, with a repricing of current option plans to reflect their actual market value.

Notable investors in this fundraising round include Gigi Levi Weiss, a founding partner at NFX, Sir Terry Leahy, former CEO of Tesco, Joseph Haykov, and the investment group William Curry.

BrandShield’s board of directors envisions that this strategic move will empower senior management to maximize the company’s operational capabilities while reducing impediments and regulatory barriers associated with stock exchange listing. This shift is anticipated to further boost customer numbers, revenue, and profitability, setting the stage for BrandShield’s next phase of growth.

For additional information about BrandShield, please visit https://www.brandshield.com.

About BrandShield

BrandShield is a leading cybersecurity company founded in Israel by cybersecurity experts that protect the world’s largest brands and consumers from phishing attacks, online fraud, impersonation, counterfeits and other online threats posed by dangerous cybercriminals. Through its AI/ML platform, BrandShield identifies, tracks, and eliminates online threats for global brands and organizations, including Bristol Myers Squibb, Levi’s, New Balance, and the Pharmaceutical Security Institute.

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