Report: Riskified Considering Sale After Receiving Takeover Interest

Fraud prevention software firm Riskified is reportedly exploring a sale and other options.

The firm has received takeover interest and is reviewing those approaches from interested parties, Reuters reported Wednesday (March 5), citing unnamed sources.

The deliberations are in their early stages and may not result in a deal, according to the report.

Riskified did not immediately reply to PYMNTS’ request for comment.

The company was founded in 2013 and went public in an initial public offering (IPO) about four years ago, according to the Reuters report.

From its peak in September 2021 to Tuesday’s close, the company’s stock lost more than 80% of its value, the report said.

That drop has made the company, which now has a market value of about $860 million, a takeover target, per the report.

Possible buyers include digital payments processing firms, online shopping platforms, cybersecurity software makers and private equity firms, the report said.

Riskified said in a Wednesday press release that during the three months ended Dec. 31, it recorded a 12% increase in gross merchandise volume (GMV) year over year, an 11% increase in revenues year over year, and a net loss of about $4.1 million, up from about $3.3 million in the same period a year earlier.

“We began 2024 with a clear focus on advancing our AI platform, driving efficiency across the company, and strengthening our leadership position in the eCommerce market,” Riskified Co-Founder and CEO Eido Gal said in the release. “I believe that our financial performance this year reflects meaningful progress in each of these areas. As we enter 2025, I am confident in the strength of our product platform and our ability to further scale our technology, bringing it to even more merchants around the world.”

Riskified also announced Wednesday that it launched a solution called Adaptive Checkout that adds a new conversion optimization engine to its existing fraud prevention models.

On Jan. 9, Riskified said that it partnered with Ixopay to help eCommerce customers expand securely through the leveraging of omnichannel payment orchestration with artificial intelligence (AI)-powered fraud detection.

The companies said at the time that the partnership combines Ixopay’s payment orchestration, tokenization and flexible payment optimization capabilities with Riskified’s AI-powered fraud and risk intelligence platform.