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Dubai - BECO Capital, a regional venture capital firm focused on technology investments in the Gulf Cooperation Council (GCC) countries, today announced during the Arabnet Conference taking place in Beirut that it has invested in MYKI, a Beirut-based cyber security startup that has developed the first advanced password and online identity manager in the region. The solution provides frictionless and secured access to online services through the smartphone. Its mobile solution removes the need to manually type in credentials every time a user logs in to a different account online, and also offers a secure password management solution.
BECO Capital's seed investment will assist MYKI in their product development and in a faster go-to-market strategy. The move marks BECO Capital's first investment in a cyber security technology firm since it was launched four years ago. Lebanon-based B&Y Venture Partners also took part in this seed investment round.
Amir Farha, Co-Founder and Managing Partner of BECO Capital, says: "With MYKI, we are starting to witness local innovations for global problems. Cyber-attacks are becoming increasingly sophisticated and are affecting nearly 90% of individuals and large organisations around the world. They are costing consumers and companies more than US$ 445 billion[1], annually, which is only expected to grow as online information stealing expands with increased Internet use. MYKI is one of the players well-positioned to build a global company and solve this universal problem, starting from the region. The founders are exceptional Arab entrepreneurs who are passionate about their original invention and are building a transformational solution targeting a large and rapidly growing market."
With the meteoric proliferation of technological solutions, smartphones and the penetration of the internet in all industry sectors, cyber threats are growing. Individuals, enterprises and governments are allocating more of their budgets and increasing their investments in private companies across the cybersecurity ecosystem. Over the last five years, US$ 7.3 billion[2] investments went into cybersecurity start-ups.
Amir Farha adds: "This partnership with MYKI is opportune given the growth of venture investments into cybersecurity companies."
Antoine Vincent Jebara, Co-founder at MYKI says: "We are looking forward to working closely with BECO Capital and taking our company to the next level. This early stage investment is a vote of confidence from BECO Capital and is a great boost for us. It will help us enhance our solution and grow and scale the company in the region and abroad. Together with BECO Capital and B&Y Venture Partners, we are very passionate about building the next winner from the tech start-up community in the region and to take it globally."
Figures show that the global cybersecurity market is expected to be worth US$ 170 billion[3] by 2020. The market is estimated to grow at a compounded annual growth rate (CAGR) of 9.8% from 2015 to 2020[4]. Looking closer at the region, the cyber security market of the Middle East and African region is expected to grow to US$ 13.43[5] billion by 2019. The UAE ranks 17th[6] in the world, ahead of countries such as Greece, Ireland, and Portugal. The index measures cybersecurity aspects such as legislation, regulation and compliance, capacity building, and international cooperation. The Middle Eastern region, in general, has witnessed a surge in the number of requests to develop robust and resilient solutions to help in the quest for better internet security. The region has great potential to graduate winners such as MYKI with products able to tackle regional and global problems like these.
Priscilla Elora Sharuk, Co-founder at MYKI says: "MYKI is a revolutionary solution that eliminates the need for usernames and passwords. What started as an idea, flourished into a working model that could change the way people use technology in their lives and will soon be available for the masses. Our goal was not just to take the project from the concept to the execution stage, but to touch people by simplifying their everyday lives and showing them the possibilities. With the help and back up of BECO Capital, we will be able to do that on a wider scale. As a designer with a background in engineering and a female entrepreneur in the Middle East, I strive to keep enhancing our product and making an impact with a focus on optimisation and sustainability."
The market that MYKI is tackling is the multi factor authentication market, which is forecasted to develop to US$ 5.5 billion by 2017. The market is still nascent but shows great potential to move in an upward trajectory. This represents a great opportunity for MYKI and BECO Capital to lead this growth.
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For more information about MYKI, please visit www.myki.co
BECO Capital
BECO Capital is a Venture Capital firm that provides early stage growth capital and hands-on operational support for technology companies in the MENA region with a focus on the GCC. Founded in 2012, BECO Capital is led by a team that enjoys a solid and diverse track record across the venture capital, technology, entrepreneurial and financial sectors. The Firm is a hands-on partner that assists its portfolio companies to expand to new markets across the GCC, acquire key talent, implement operational improvements, adopt corporate governance practices and raise growth funds. BECO Capital also offers follow-on funding to its portfolio companies and helps line-up large regional investors and global Venture Capital firms for the future much larger follow-on fundraising rounds.
For more information, please visit www.becocapital.com
You can follow Amir Farha on twitter: @afarha.
[1] New study published by the Center for Strategic and International Studies and funded by cybersecurity firm McAfee.
[2] Researcher CB Insights
[3] Hemanshu "Hemu" Nigam, founder of security advisory firm SSP Blue, and an expert in online safety and privacy who has led security efforts at Microsoft and News Corporation.
[4] Report from Markets and Markets
[5] Report from Cybersecurity Ventures
[6] The United Nations International Telecommunications Union's most recent 'Global Cybersecurity Index
Issued by Borouj Consulting on behalf of BECO Capital. For more information, please contact: Randa Mazzawi randa@boroujconsulting.com or Mayssa Makhlouf mayssa@boroujconsulting.com at Tel: +971556479075, Follow us on Twitter @Borouj
© Press Release 2016
