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Security Startup Chainguard Raising Funds at $3.5 Billion Value

(Bloomberg) -- Venture capital firm Kleiner Perkins is in talks to lead a funding round of $350 million for cybersecurity startup Chainguard Inc., according to people familiar with the matter, lifting its valuation to $3.5 billion.

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The deal would roughly triple the company’s value from a financing deal last year, underscoring the growing need for secure tools for software development. Representatives for Chainguard and Kleiner Perkins declined emailed requests for comment, and the people familiar with their discussions asked not to be named as the information is private.

Based in Kirkland, Washington, the startup raised $140 million at a valuation of $1.1 billion in July from investors including Redpoint Ventures, Lightspeed Venture Partners and IVP. “Chainguard is one of the fastest growing enterprise businesses we have seen in the past several years,” Redpoint partner Sai Senthilkumar said in a statement at the time.

The company, which presents itself as the safe way to develop open source software and future artificial intelligence applications, counts tech companies like Anduril Industries Inc., Hewlett Packard Enterprise Co. and Snowflake Inc. among its customers.

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