Envelop Risk raises $130 million

Envelop Risk Analytics announced a Series B investment of $130 million led by SoftBank Vision Fund 2. As part of the transaction, Neil Cunha-Gomes, Investor for SoftBank Investment Advisers, will join Envelop Risk’s board of directors. The transaction is planned to close in October 2021, subject to shareholder approval.

Established in 2016, Envelop Risk provides pricing, risk analysis, and underwriting focused on the global cyber reinsurance market to insurers and reinsurers. The firm has underwritten over $250 million of business since 2018. The financing will facilitate Envelop Risk’s plans to expand its proprietary machine-learning and data-driven underwriting activity in London and Bermuda, with hopes to fuel growth into new markets globally and beyond cyber (re)insurance.

“We are delighted to have reached such a significant milestone in our funding journey. This transaction will allow us to continue our leadership in data-driven specialty (re)insurance underwriting and will be transformational for our business reach and activity. For the first time Envelop Risk will be able to assume positions in risk capital, which gives us greater alignment with our partners. We are all really excited to work with SoftBank Investment Advisers and together meet the huge opportunities that we see present in emerging and complex risk underwriting.” – Envelop Risk co-founder and CEO, Jonathan Spry.

“We know that all companies of all sizes will eventually safeguard against increased risk through robust cyber insurance policies. Digital systems have reshaped our world, but they are also vulnerable individually, and as integrated networks. Cyber insurance plays a critical protective role. Envelop deploys capital thoughtfully into the cyber insurance ecosystem, providing assurance that mitigation resources are available immediately upon an attack, so organizations can continue to function in the face of these risks.” – Paul Guthrie, Co-founder and COO of Envelop.

“While companies all over the world are improving their digital preparedness, the cyber threat landscape continues to evolve at a rapid rate. We believe Envelop Risk has developed a proprietary data-driven approach to meet this threat through an enhanced level of protection that directly translates to lower loss ratios. We’re pleased to partner with Envelop Risk in its journey to enable risk capital and provide much needed capacity to the nascent cyber risk market.” – Karol Niewiadomski, Senior Investor for SoftBank Investment Advisers.