At a glance.
- Forescout files lawsuit against Advent International.
- Department of Energy appoints University of Texas, San Antonio to lead the Cybersecurity Manufacturing Innovation Institute (CyManII).
Mergers and acquisitions.
Portland, Oregon-based archiving and compliance software provider Smarsh has acquired Santa Clara, California-headquartered cybersecurity compliance company Entreda for an undisclosed amount. Smarsh's CEO Brian Cramer stated, "With the acquisition, Smarsh can now offer our customers cutting-edge device, network and user level cybersecurity risk and compliance management capabilities." Entreda's CEO and co-founder Sid Yenamandra said, "Our transaction with Smarsh provides us with growth resources and investment capital to accelerate our product innovation, while reinforcing the capabilities that have enabled us to deliver an exceptional service experience to clients across the wealth management space. Our customers should be confident that it remains business as usual in how they interact and engage with Entreda and look forward to the many exciting product enhancements and new solutions that we can roll out, more expeditiously than ever, in partnership with Smarsh."
Investments and exits.
Mountain View, California-based data privacy API startup Skyflow emerged from stealth with a $7.5 million seed investment round led by Foundation Capital’s Ashu Garg, with participation from Jeff Immelt and Jonathan Bush. The company was founded last by former Salesforce executives Anshu Sharma and Prakash Khot. Sharma told Dark Reading that the company offers a sort of "database-as-a-service," allowing companies to securely store and access their customers' sensitive data through Skyflow's API.
San Francisco and New York-based data monitoring startup Toro has raised $4 million in a seed funding round led by Costanoa Ventures and Point72 Ventures, TechCrunch reports. The company has just four employees but plans to add some more data scientists this year. Toro's co-founder and CEO Kyle Kirwin told TechCrunch, "We’re building a monitoring platform that helps data teams find problems in their data content before that gets into dashboards and machine learning models and other places where problems in the data could cause a lot of damage."
Singapore-based next-generation networking and wireless technology company Ray has received a ₹2 crore (approximately US$265,000) investment from India-based antivirus vendor Quick Heal Technologies, the Hindu Business Line reports. Ray's founder and CEO Hemal Patel stated, "We are excited to have Quick Heal as our strategic investor. We would benefit from their vast experience of building a technology company focused on advanced security technologies and client-centric innovation culture. The funding shall help us accelerate our product innovations and increase our reach in multiple geographies." Quick Heal's CEO Kailash Katkar said, "Through our investment in Ray, we want to bring the best of Quick Heal’s security technology and capabilities to a wide range of customers and partners with highly secure networking and wireless technology. The team at Ray’s is building futuristic solutions keeping IoT and cloud computing technologies in mind which makes them an ideal partner."
Skybox Security has appointed Charlie Velasquez as Chief Financial Officer. Velasquez has previously served as CFO for Arxan Technologies, CollabNet, AccelOps and Tidal Software.
WhiteHat Security has hired Tanya Gay as Vice President of Operations and Business Strategy and promoted Judy Sunblade to Vice President of Revenue Growth and Enablement. Gay was most recently Vice President of Global Sales Operations at Bromium, while Sunblade previously served as WhiteHat's Head of Global Revenue Enablement.
Security companies in the news.
Forescout Technologies has filed a lawsuit in Delaware against private equity firm Advent International after Advent backed off from its planned $1.9 billion acquisition of Forescout, Law360 reports. Forescout said in its press release that "Advent’s purported excuse for its wrongful conduct is that a closing condition to the transaction has not been satisfied because a “material adverse effect” has occurred at Forescout. Forescout believes that no material adverse effect has occurred, that all closing conditions are satisfied, and that Advent is obligated to close the transaction. Forescout believes that Advent has relied on meritless excuses to support its position."
Forbes quotes an Advent spokesperson as saying the firm decided to back out of the deal "after an extensive analysis that included information provided by Forescout, the company’s first quarter 2020 financial results and a detailed forecasting exercise to better understand future performance. Advent’s analysis, which was shared with Forescout, established that the company has experienced a material adverse effect on its business, financial condition and operational results. In addition, there has been a disproportionate effect on the company’s business relative to its direct peers, most of which have reported strong financial performance in the current environment. Advent has informed Forescout of its belief that the company will lack the ability to meet its financial obligations as they become due based on its expected post-closing financial condition. Further, we believe the company has failed to operate in the ordinary course in several material respects since the signing of the Merger Agreement."
And security innovation.
The US Department of Energy has appointed the University of Texas at San Antonio to lead the Cybersecurity Manufacturing Innovation Institute (CyManII), Daily Energy Insider reports. CyManII will work with private and public sector organizations around the country to help manufacturers and suppliers "understand current and emerging cyber-vulnerabilities along connected processes, integrate new IOTT components with a secure common architecture, and train their workforce on good cyber practices."