CPP Group, the international product innovation business, has agreed to invest £1.2m in cyber risk startup KYND.
The UK-based company uses cyber risk management technology to enable businesses to easily monitor and understand the cyber risks they face, take action when necessary and be alerted to future risks as they arise.
KYND was founded by Andy Thomas who led consumer data and fraud protection company Garlik through to its acquisition by Experian, and Mike Harris, the founding CEO of First Direct, Egg and ex CEO of Mercury who will be chairman of the business.
Following the acquisition of Blink Innovation last year, the investment in KYND ‘further demonstrates CPP’s commitment to investing in innovative people, businesses and products that have relevance for its distribution partners internationally’, CPP said in a statement.
“The products developed by KYND will be available to CPP’s current and future partners later this year, creating differentiation for those partners and helping businesses manage cyber risk more effectively,” the company added.
CPP has faced several years of reputational and financial damage after being hit by a mis selling scandal in 2012. The group was fined £10.5m by the Financial Conduct Authority in and paid out £65.8m in compensation to customers for mis-selling.
However, in March last year, CPP acquired Blink Innovation Limited for an initial consideration of €1m and an earn-out based on future products developed by Blink. The group said it now plans a re-entry into the UK market in the first half of 2018 with the new products from KYND and Blink leading the relaunch. In December, the FCA granted approval for CPP to use Blink UK as an insurance intermediary in the UK market.
As part of the re-launched, CPP has also appointed Michael Whitfield as managing director of the new UK business. He will spearhead the company’s re-entry into the UK market by developing partner distribution opportunities that utilise the increasing product portfolio available to the business in the UK. His most recent position was acting executive chair of Building Block, a specialist European insurance company.
CPP chief executive Jason Walsh said: “I am excited about re-entering the UK market and our investment in KYND, both of which are important steps in our ongoing commitment to innovation and new product development, ensuring our partners have access to the best products for their customers. Cyber threats are the fastest rising risk facing organisations across the world. KYND is a UK company with the potential for global reach and I look forward to partnering with them to help them grow.”
Copyright © 2018 RegTech Analyst
Copyright © 2018 RegTech Analyst
