At a glance.
- Forescout and Advent reach an amended merger agreement.
- Rackspace files for an IPO.
- Jyoti Bansal launches application security company.
Mergers and acquisitions.
Forescout and Advent International have reached an amended merger agreement "under which Advent will acquire all outstanding shares of Forescout common stock for $29.00 per share....Concurrently with executing the amended merger agreement, Forescout and Advent reached a settlement agreement as a result of which the pending litigation in the Delaware Court of Chancery will be dismissed." Bryan Taylor, head of Advent’s technology investment team, stated, "Advent and Forescout worked in good faith to reach a solution that could benefit all stakeholders. We look forward to helping Forescout continue to deliver world-class cybersecurity solutions to customers for years to come." Theresia Gouw, chair of Forescout's board of directors, said, "We believe revising the terms of the previously announced transaction is the best path forward for Forescout because it removes the significant ongoing distraction of the pending litigation and delivers immediate and certain value to Forescout's shareholders. The Board of Directors unanimously recommends that shareholders tender their shares in support of the transaction."
British defence contractor QinetiQ has acquired Manchester-based intelligence software developer Naimuri for £25 million (US$31.5 million). QinetiQ stated, "We will invest and build upon Naimuri's strong capabilities in data analytics, data intelligence and agile software development to meet customer needs and drive growth in both the security and defence sectors."
Brazilian aerospace conglomerate Embraer has made a capital investment in Tempest Security Intelligence, Brazil's largest cybersecurity company, according to Business Jet Interiors International. Embraer now has a majority interest in the cybersecurity firm. Jackson Schneider, president and CEO of Embraer Defence & Security, stated, "We are proud to announce this investment in Tempest, a company with great technical expertise and international market presence. Embraer has always encouraged the development of a national chain for the aeronautical and defence industry in Brazil, and one of our priorities is to focus on the cybersecurity segment."
Ottawa-based manufacturing company Calian Group has acquired Canadian emissions security and radio frequency monitoring company EMSEC Solutions. Calian's president and CEO Kevin Ford stated, "This important acquisition supports both customer diversification and service line innovation, two key pillars within our four-pillar growth strategy. Innovation and expertise will be key to Calian’s continued growth and evolution. EMSEC’s team will further strengthen Calian’s expertise in the area of government and defence cyber security and provide us with innovative software and technology-enabled services to broaden the depth of our solutions."
Australian cybersecurity consulting firm CyberCX has acquired Melbourne-based mission-critical network security company Basis Networks for an undisclosed amount. CyberCX CEO John Paitaridis stated, "Corporate networks represent a key vulnerability for Australian businesses, especially with a large proportion of the economy engaged in remote working. Basis Networks' reputation for providing highly secure network infrastructure and cloud solutions will strengthen CyberCX's position as Australia's leading cyber security service provider." Basis Networks co-founder and managing director Tom Allan said, "It is a natural fit. CyberCX has quickly established itself as Australia’s leading cyber security organisation underpinned by the industry’s best talent and security service offerings. Our expertise and values, particularly our relentless commitment to customers, are strongly aligned."
Canadian cybersecurity firm Herjavec Group has acquired UK-based identity and access management provider Securience. The company's press release states, "The acquisition will expand Herjavec Group's existing capabilities, which are recognized by Forrester, IDC and Gartner, by bringing in some of the industry's top Identity Management talent and unique proprietary tools....Herjavec Group will immediately deploy Securience's proprietary tools to enhance their Identity service delivery."
Investments and exits.
Texas-based multicloud solutions provider Rackspace Technology has filed for an IPO, CRN reports. CRN explains, "After it withdrew from public trading on the New York Stock Exchange back in 2016, Rackspace transformed from a colocation and cloud services provider to primarily a managed services provider that partners with its former hyperscale cloud competitors. Rackspace's comprehensive transformation was executed through a string of acquisitions and the forging of close alliances with the three largest public cloud vendors, as well as a number of technology partners across the cloud stack."
Jyoti Bansal, founder of AppDynamics, has launched app security company Traceable out of his Big Labs startup studio, TechCrunch reports. Traceable has received $20 million in Series A funding from Big Labs and Unusual Ventures, which Bansal co-founded. Bansal will serve as Traceable's CEO, and his co-founder and Chief Technology Officer is Sanjay Nagaraj, according to Pitchbook. Bansal told TechCrunch, "The software is becoming the primary attack vector for a lot of things. If you look at most of the sophisticated data breaches […], they are happening in the code, not in the network or the infrastructure anymore."
Israel-based breach and attack simulation provider XM Cyber has raised $17 million in a Series B round from Macquarie Capital, Nasdaq Ventures, Our Innovation Fund, and Swarth Group. XM Cyber plans to "use the funding to grow its research and development department while expanding its sales and marketing presence worldwide. The company is also expanding its capabilities as a result of the recent growth in demand for its ability to simulate attacks against cloud-based resources. The company currently has customers across the US, Europe and Asia with a growing presence in Latin America."
Arizona-based cyberattack prediction platform CYR3CON has raised $8.2 million in a financing round led by Pivotal Group, with participation by Trumpf Ventures, 3Lines Venture Capital, DF Enterprises, Hike Ventures, and others. The company says the "funding will be used to fuel the growth of CYR3CON’s existing prediction platform – expanding use cases beyond vulnerability management to include application security, security operations, support for enterprise cyber insurance underwriting, and risk management for private equity or venture funds."
UK-based post-quantum cryptography company PQShield has raised £5.5 million (US$6.9 million) from Kindred Capital, Crane Venture Partners, and Oxford Sciences Innovation, as well as angel investors including Andre Crawford-Brunt. PQShield's founder and CEO told TechCrunch that "the fact is that we’re a security company, and that is one of the areas that is doing well. Everything has become digitised, and we have all become more heavily reliant on our digital connections. We ultimately help make the digital world more secure. There are people who understand that, and so it wasn’t too difficult to talk to them and understand the importance of this company."
Brazilian cybersecurity startup Kryptus has raised US$3.7 million (R$20 million) through the Aerospace Investment Fund (AIF), according to Contxto. The funding will help Kryptus expand internationally.
BAE Systems Applied Intelligence has spun off its internally incubated cybersecurity company SOC.OS, Computer Business Review reports. SOC.OS has also raised £2 million (US$2.3 million) in funding from Hoxton Ventures and Speedinvest. According to FinSMEs, SOC.OS will use the investment to grow its business. The company will offer a SIEM/SOAR solution for medium-sized businesses, because, as Computer Business Review explains, "Most SIEM/SOAR offerings are tailored to large SOCs or internal IT security teams."
Telefónica Innovation Ventures has invested an undisclosed amount into San Francisco-based OT/IoT security company Nozomi Networks, Fierce Telecom reports. Fierce Telecom notes that the "investment came on the heels of a joint services agreement earlier this year between Nozomi and Telefónica's cybersecurity company, ElevenPaths."
Alethea Group has hired Cindy Otis as its Vice President of Analysis. Otis is a disinformation expert and a former CIA analyst; she most recently served as Director of Analysis for Threat Investigations at Nisos Group.
Sabrina Soussan will take over as dormakaba's new CEO next April, while the company's current CEO, Riet Cadonau, will focus on his role as chairman of dormakaba's board, according to Security Info Watch. Soussan has been co-CEO of Siemens Mobility since 2017.
Open Raven has appointed Rob Markovich as Chief Marketing Officer, Alan Buckley as Senior Vice President of Sales, Finance and Operations, and Bill Hau as Vice President of Customer Success. Markovich was previously Chief Marketing Officer at Wavefront, Buckley most recently led business operations at Tanium, and Hau was previously VP of Incident Response at Cylance and Mandiant.
Novetta has hired Ryan Fairchild as Vice President of Enterprise Solutions in the company's Information Exploitation Division. Fairchild was most recently Vice President of the Ground Applications Department within CACI's NSIS Sector and Advanced Solutions Group.
IndraSoft has hired Greg Jaksec as DISA Account Director. Jaksec has previously served as "former Commander, DISA Command Center (DCC), Fort Meade and Global Network Operations and Security Center (GNOSC) Chief of Network Operations at Scott Air Force Base."