EyeVerify sells to Alibaba affiliate for more than $100M
September 13, 2016 | Bobby Burch
In what represents one of the metro’s most notable exits in the last decade, Kansas City-based startup EyeVerify announced Tuesday that it has been acquired.
Ant Financial — the payments affiliate of Alibaba Group Holding — purchased EyeVerify for more than $100 million, according to an unnamed local source familiar with the deal.
Ant Financial started using EyeVerify’s biometric security tool in early 2016. Valued at about $60 billion, Ant Financial boasts about 450 million customers, offering services such as online payments, peer-to-peer lending, wealth management and more, Bloomberg reports.
Led by CEO Toby Rush, EyeVerify created the “EyePrint ID,” which transforms a selfie of a user’s eye into a biometric security key. It’s used by millions of people around the world to access mobile banking or other secured information.
Founded in 2012, EyeVerify has 35 staffers, has raised $13 million to date and was named a Top 10 Startup to Watch in 2016 by Startland News.
Now a wholly-owned subsidiary of Ant Financial Services Group, EyeVerify plans to stay in Kansas City after the deal, according to the firm. Current employees and the executive management team will also remain with the firm.
The exit is an unequivocal win for Kansas City. Not only will founding team members likely see a nice payout, but so too will EyeVerify’s local investors. Local investors in EyeVerify include Mid-America Angels, Women’s Capital Connection, Think Big Partners, Flyover Capital, Sprint and other private investors.
“Mid-America Angels and the Women’s Capital Connection are proud to have identified EyeVerify as a promising business opportunity and participated in this deal from its earliest stages,” a spokeswoman with MAA said. “We congratulate Toby and his team on years of hard work, and look forward to celebrating this timely victory for Kansas City during Techweek.”
Check back in later for more on this breaking story.
2016 Startups to Watch
stats here
Related Posts on Startland News
KC-baked snack cracker startup tastes new markets, opportunities fueled by regenerative agriculture
SAN ANTONIO — Five years after the company experienced crunch time in the Kansas City-based Sprint Accelerator, Cheddies Crackers has expanded its line of high-protein, low-carb cheddar crackers into more than 2,500 retailers nationwide, said Francisco Pergola. RELATED: Say ‘cheese,’ KC! Cheddies arrive in Hy-Vee stores after Sprint Accelerator Pergola — who co-founded the San…
Shop Local KC moving its flagship maker store to Brookside, expects flower business to bloom
Shop Local KC is closing its flagship Midtown location as it prepares to open a new storefront in Brookside Sept. 1, according to owner Katie Mabry Van Dieren. The retail gift and flower shop plans to depart its original location at 3630 Main St. as the building developer, Exact Partners, seeks to use the space…
Investor returns to Kansas City with a message for his fellow VCs: It’s time to get your hands dirty
Traveling across the United States to listen and learn from various entrepreneurial ecosystems gave Nassir Criss the knowledge to be a better venture capitalist, he said. After nearly a year — and visiting more than a dozen cities — Criss has returned to Kansas City to share and apply what he experienced. “I realized that…
Manufacturing talent: Kansas production mainstay designs its niche, from warfighters to healthcare
Startland News’ Startup Road Trip series explores innovative and uncommon ideas finding success in rural America and Midwestern startup hubs outside the Kansas City metro. TOPEKA — The leader of a Kansas company specializing in custom equipment design and manufacturing hailed the work of its nearly 500 employees for allowing the organization to thrive during…