Behavox has raised USD 175 million in preferred equity from HPS Investment Partners, part of BlackRock, to expand its AI-native controls platform and pursue M&A.
London and Montreal-based Behavox, an AI-native controls platform for financial institutions, has completed a USD 175 million preferred equity investment from HPS Investment Partners, a global credit investment firm and part of BlackRock. The investment is Behavox's first equity financing since 2020, when SoftBank invested USD 100 million. As part of the transaction, Behavox fully repaid and retired a USD 70 million venture debt facility with Hercules Capital, which had been secured in autumn 2024 to fund the acquisition of Mosaic Smart Data and a strategic investment in b-next.
HPS joins existing institutional investors, including SoftBank, Citigroup, Index Ventures, and Hoxton Ventures. Behavox has been profitable since 2023 and has grown its customer base 86% to more than 100 major financial institutions across five continents.
Platform capabilities and product development
Behavox's Unified Controls Platform covers communications surveillance via its Quantum product, trade surveillance via Polaris, regulatory data retention through Intelligent Archive, and policy management through Pathfinder. Polaris, introduced in 2025, supports market abuse detection across ten major asset classes on a single AI-native platform and can operate alongside Quantum, using agentic AI to pull related communications - chats, emails, voice, and archive records - into a single case workflow. Polaris pipeline growth has exceeded 80% since the beginning of 2026.
The proceeds will support continued investment in Polaris, further M&A activity, and global market expansion. Since SoftBank's 2020 investment, Behavox has grown the business sevenfold, with SoftBank Investment Advisers in the UK and SoftBank Corporation in Japan both becoming Behavox customers.
The acquisitions of Mosaic Smart Data and the investment in b-next accelerated Behavox's entry into trade surveillance by adding FICC front-office analytics and capital markets trade surveillance capabilities to its platform.
Ardea Partners served as investment adviser to Behavox, with Freshfields LLP acting as legal counsel.
