Data analytics startup SAR closes $1M seed fund to expand its securities class action (SCA) data analytics coverage

SAR, a Bethesda, Maryland-based securities class action (SCA) data analytics software startup, has closed $1 million seed round to grow its team and expand its SCA data analytics coverage. The fresh capital infusion came from a group of angel investors. In conjunction with the funding, SAR announced the addition of new leadership team.

Founded in 2018, SAR is an independent and highly specialized provider of SCA data analytics services. The startup provides primary insurance carriers that underwrite Directors and Officers (D&O) liability insurance and specialty and excess players with independent company and claim-specific analyses of exposure and potential class-wide damages from alleged violations of the federal securities laws. The applied econometric analyses are based on methodologies that abide by established precedents in key circuits of the U.S. Federal Court system.

SAR is the pioneer in event-driven SCA data analytics, combining proven event study methodology with cloud-based processing to identify, track, and uniformly quantify potential exposure from adverse events. SAR empowers public company D&O claims professionals with easy-to-use, cloud-based, robust econometric tools that track and quantify severity on filed claims that allege violations of Section 10(b) and 20(a) of the Securities Exchange Act, and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.

“SAR is honored to have such a dedicated and focused team of skilled professionals lead our mission to enhance transparency in the securities class action arena with best-in-class SCA data analytics,” said Nessim Mezrahi, CEO of SAR.

Today, SAR announces that commencing in 2020, the Data Science team will actively track, monitor, and analyze SCAs that allege violations of the federal securities laws under Section 11, Section 12(a)(2), and Section 15 of the Securities Act of 1933, and Exchange Act claims that allege violations of Rule 10b-5 involving non-U.S. domiciled companies that are listed in American Exchanges and trade through American Depository Receipts (ADRs).