Early-stage cybersecurity enterprise agency Cyberstarts has introduced a $300 million initiative to reward startup workers and assist its portfolio corporations retain expertise.
The funding automobile, referred to as the Worker Liquidity Fund, permits workers at corporations throughout the agency’s portfolio to promote a part of their vested shares with out leaving their firm.
This built-in path to liquidity, the enterprise agency says, will assist corporations align incentives, and maintain long-term worker dedication.
Eligibility will likely be decided for every portfolio firm, based mostly on the entity’s scale and expertise wants, whereas the HR groups at every firm will likely be in cost with the implementation.
Devoted allocations throughout the Worker Liquidity Fund will likely be supplied to every Cyberstarts-backed firm, guaranteeing implementation flexibility, the cybersecurity enterprise agency says.
Thus far, Cyberstarts has made near 30 investments, together with in seed rounds at well-known cybersecurity corporations equivalent to Wiz (pending acquisition by Google), Fireblocks, Island, and Cyera.
Island, a late-stage startup promoting a security-themed enterprise browser, has raised greater than $730 million in funding and has partnered with Cyberstarts.
“Particularly given at present’s prolonged IPO timeline, secondary fairness transactions have gotten an integral part of the worker expertise at startups that select to stay personal and impartial,” stated Michael Fey, Co-Founder and CEO of Island. “This new dedication from Cyberstarts is an amazing asset as founders work to ship an distinctive office.”Commercial. Scroll to proceed studying.
Knowledge safety firm Cyera, which has raised greater than $1.3 billion, together with a not too long ago introduced $540 million Collection E spherical in June 2025, says its worker liquidity program is a large profit for retaining and attracting workers.
“In at present’s market, we’re seeing industry-leading expertise corporations scale to extraordinary heights over years and years with continued drive and dedication of their authentic workers,” stated Yotam Segev, Co-Founder and CEO of Cyera. “At Cyera, we’re constructing an enduring firm in a essential {industry}, which requires retaining and motivating the perfect expertise over a very long time horizon. Cyberstarts has been supporting our mission from day one, and this new liquidity program supercharges our workforce by rewarding them with dependable and predictable liquidity.”
The closing of the Worker Liquidity Fund brings the whole raised by Cyberstarts in capital commitments to over $1 billion, throughout six funds.
“With this new fund, we hope to go even additional to help our portfolio corporations – making a retention device that rewards workers with a solution to take part of their firm’s early success whereas staying targeted on the long-term imaginative and prescient,” Cyberstarts founder Gili Raanan stated.
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