At a glance.
- FireEye to sell its security products business.
- ExtraHop will be acquired by Bain Capital and Crosspoint Capital Partners.
- SentinelOne files for IPO.
Mergers and acquisitions.
FireEye has "entered into a definitive agreement to sell the FireEye Products business, including the FireEye name, to a consortium led by Symphony Technology Group (STG) in an all-cash transaction for $1.2 billion, before taxes and transaction-related expenses." The company says the transaction "will separate FireEye’s network, email, endpoint, and cloud security products, along with the related security management and orchestration platform, from Mandiant’s controls-agnostic software and services, enabling both organizations to accelerate growth investments, pursue new go-to-market pathways, and focus innovation on their respective solutions. The FireEye Products business and Mandiant Solutions will continue to operate as a single entity until the transaction closes, allowing management and STG to develop a successful transition of the FireEye Products business to a standalone entity within the STG portfolio."
Seattle-based network detection and response provider ExtraHop will be acquired by Bain Capital Private Equity and Crosspoint Capital Partners for $900 million. ExtraHop's CEO Arif Kareem stated, "By combining our exceptional team, market need, and technology with the deep domain expertise and resources of Bain Capital and Crosspoint Capital, ExtraHop has the opportunity to grow faster and accelerate our innovation to help our customers defend their operations from even the most advanced threats." Kareem also told VentureBeat, "Customers will continue to work with the same teams and receive the same high level of service, engagement, and innovation they’ve come to expect. ExtraHop will continue to operate under its own brand, but following the closing will be majority-owned by Bain Capital and Crosspoint Capital...Both Bain Capital and Crosspoint Capital bring seasoned investors to ExtraHop and provide us the opportunity to accelerate investments in critical areas, build upon our initial successes in the NDR market, and expand our footprint in cybersecurity."
Mountain View, California-based electronic design automation and application security testing company Synopsys has acquired New York-based application security and vulnerability management company Code Dx. Synopsys stated, "The addition of Code Dx enables Synopsys to offer customers consolidated risk reporting and prioritization across correlated software vulnerability data produced by Synopsys solutions and more than 75 third-party and open source application security and development products. Headquartered in Northport, New York, the acquisition also adds a team of R&D engineers experienced in vulnerability correlation and integrating security testing activity across the entire software development pipeline." Code Dx has been one of DataTribe's portfolio companies.
Deloitte has acquired cloud security automation company CloudQuest. Deloitte stated, "With the addition of CloudQuest’s business, Deloitte’s Cyber Cloud offering will continue to expand its portfolio of cloud security orchestration, automation and response (SOAR) services and solutions."
Investments and exits.
Vancouver-headquartered online identity verification platform provider Trulioo has secured $394 million in a Series D round led by TCV, with participation from existing investors Amex Ventures, Citi Ventures, Blumberg Capital, and Mouro Capital. Trulioo's president and CEO Steve Munford stated, "This new round of funding will enable us to accelerate our goal to become an end-to-end identity platform. Our vision is to break down fragmented data silos caused by disparate identity networks, and we will work in partnership with TCV to expand our investments in product innovation, build out artificial intelligence/machine learning capabilities and accelerate our global go-to-market strategy."
Austin, Texas-based, cybersecurity risk management company Brinqa has raised $110 million in a funding round led by Insight Partners. The company says it will use the funding for "continued business scaling and market expansion."
San Francisco-based automated penetration testing-as-a-service company Horizon3.ai has raised $8.5 million in a funding round led by SignalFire. The company says it will use the funding "to accelerate its product roadmap and go-to-market strategy."
Windows software deployment and patch management solutions provider Aiden Technologies, based in Dallas, Texas, has raised $2.9 million in a seed funding round led by Right Side Capital Management. The company says it "plans to use the funds to fortify its recently unveiled automated endpoint management solution and fulfill the company's go-to-market strategy."
Secureworks has appointed Wendy K. Thomas, the company's current President of Customer Success, as its next President and CEO, effective Sept. 3, 2021. Secureworks' current CEO Michael R. Cote is retiring. Cote stated, "Wendy is a proven and respected leader who has been the driving force of our company's transformation. Her deep knowledge of our business has made her a valued strategic partner for many years, and throughout her tenure she has delivered strong operating results and innovative solutions through a relentless commitment to our customers, our purpose, and our people. I am confident she will lead Secureworks well into the future and I am proud to have her succeed me. I know she will make an outstanding CEO."
SecureLink has appointed Patrick Tickle as its new CEO and Robert Humphrey as its first Chief Marketing Officer. Tickle previously served as Chief Product Officer at Planview, while Humphrey most recently served as Chief Marketing Officer at Onfido.
Swimlane has hired Tony Thompson as Chief Marketing Officer, Charles Constanti as Chief Financial Officer, and David Anthony as SVP Customer Experience. Thompson previously served as CMO at Kemp Technologies, Constanti was CFO at BlastWave, and Anthony was Vice President of North American Customer Success at eSmart Systems.
Where business is done.
We received comments from Tim Cowden, president and CEO of the Kansas City Area Development Council, on what Kansas City has to offer for cybersecurity companies:
"In 2020, KC was recognized among cities like Austin and San Francisco for highest percentage tech job growth as we continue to attract and grow companies of significance to our region. Cyber/tech is a linchpin to KC’s strategy to create and recruit enterprise companies that reflect the revolutionary forces impacting all businesses today.
"Cybersecurity companies moving to Kansas City find they have access to the reliable availability of talent at a price point that’s very attractive. The KC region offers two times the national average concentration of cyber workers so the talent pipeline is in place and producing. This forms a cost structure for these companies that keeps our region competitive with other areas across the country, particularly the west and east coasts.
"A recent achievement that embodies Kansas City’s attractiveness for cybersecurity companies was the decision by Torch.AI in selecting the region for its 500-employee HQ. Other markets considered were Southern California, Washington D.C. and the New York metro."