Visa Acquires Israeli Developer to Combat Fraud
Visa announced the acquisition of Israeli company BioCatch for $2.4 billion in cash. BioCatch develops behavioral biometrics systems to fight fraud. Its technologies are used by 350 financial institutions in 21 countries, protecting over 760 million users. The deal aims to strengthen Visa's cybersecurity and requires regulatory approval.
Payment giant Visa has announced the acquisition of Israeli cybersecurity company BioCatch for $2.4 billion in cash. The sellers are investment funds managed by Permira and other shareholders of the startup. The deal is aimed at strengthening Visa's capabilities in countering digital fraud. BioCatch's technology uses behavioral biometrics and artificial intelligence to analyze user behavior, distinguishing real account owners from fraudsters. The company's developments are already deployed in more than 350 financial institutions across 21 countries, protecting over 760 million users. According to Andrew Torre, president of Visa's value-added services division, fraud causes more than one trillion dollars in damage to the global economy annually. Over the past five years, Visa has invested over $13 billion in cyber defense. BioCatch CEO Gadi Mazor expressed confidence that the combined efforts will elevate consumer protection to a new level. The deal requires regulatory approval and is expected to close by the end of Visa's second fiscal quarter in 2027.