Authentify, a company that offers phone-based, multifactor authentication to more than 1,200 financial institutions and e-commerce companies, today announced it will soon be acquired.
The acquirer is Chicago-based Early Warning, a company owned and governed by the largest banks in the U.S. and which provides risk-management solutions to 1,100 banks, government entities, and companies. Once the Authentify acquisition is under its belt, Early Warning will bolster its current offering with a multifactor authentication solution that integrates multiple channels and authentication methods.
The terms of the acquisition were not disclosed.
This is not Early Warning’s first move to broaden its offerings. In 2013, the Arizona-based company partnered with Payfone to combine device and customer-identity authentication with transaction data to ensure security. Early Warning has an equity stake in Payfone.
Authentify was founded in 1999 and Peter Tapling is CEO. The company demonstrated 2CHK at FinovateFall 2011.
- NCR to sell new mobile imaging solutions from Mitek.
- Backbase teams up with Accenture to help FIs improve customer engagement through digital channels.
- Dwolla announces role as payment partner for Microsoft for Government initiative.
- Australia-based ME Bank deploys core banking system, business intelligence, and anti-money laundering solutions from Temenos.
- MasterCard launches MasterPass in France and Russia.
- Finovate Debuts: eMoney Advisor Provides Financial Advisors with a Suite of New Planning Tools.
- Independent Financial Advisor takes a look at Motif Investing and Wealthfront.
- Xero reaches 400,000 paying customers.
- Entersekt responds to FIDO Alliance’s U2F specifications with its FIDO U2F-enabled authentication solution, Transakt.
- Fintech for the Rest of Us blog mentions PayStand over PayPal and Stripe for bitcoin payments.
- PayItSimple integrates with 30 more payment gateways in collaboration with Spreedly now integrated with approximately 70% of all gateways in the US.
- Payfone and Early Warning partner on mobile authentication.
- Marlborough Savings Bank now offers Kasasa to enhance checking account offering.
- Spend Matters reports: Receivables Exchange the largest of the Online Invoice Auction Exchanges.
- Arxan announces enhanced mobile runtime app self protection (RASP) capabilities.
- Lendio named One of Utah’s Best Companies to Work For in 2014.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.
Cheers to a new year! After ringing in 2014, we wanted take a look back at the capital raised by Finovate alumni in 2013. It was quite a year, with alums pulling in $825 million, $365 million more than in 2012 for an increase of about 80%.
2013 funding summary:
- 62 companies raised $825 million
- Q4 had the most capital, with a total of $294 million raised by 17 companies (more than half by Xero, which landed $150 million).
- October was the busiest month, with $177 million raised (mostly Xero’s $150 million)
- May was second highest with $91 million raised by 7 companies
Last year Finovate alums took in almost twice as much as 2012, when 44 Finovate alums collectively raised
$460 million. The chart below shows the quarter-by-quarter comparison for both years.
— blog post
More than $155 million raised by 14 companies
January — $57 million raised by 6 companies
February — $56 million raised by 5 companies
March — $42 million raised by 4 companies
— blog post
More than $205 million raised by 15 companies
June — $81.7 million raised by 6 companies
May — $91.5 million raised by 7 companies
April — $32 million raised by 2 companies
— blog post
More than $171 million raised by 22 companies
July — More than $63 million raised by 8 companies
August — More than $26 million raised by 6 companies
September — $82 million raised by 9 companies
More than $294 million raised by 17 companies
October— $177 raised by 6 companies
November — More than $87 million raised by 7 companies
December — More than $30 million raised by 6 companies
Mobile security and authentication technology is always a topic of importance in fintech because fraud threats are continuously evolving.
Mobile commerce and authentication company Payfone announced this month that it raised $10 million, further proving that the need for mobile security technology will be around for awhile. The funding comes from Arizona-based Early Warning, and brings Payfone’s total funding up to almost $40 million.
As a part of the deal, Payfone’s technology will be available to Early Warning’s clients.
To learn more about Payfone, watch its FinovateFall 2012 demo where it launched 1 Touch Checkout.