Identification security firm CyberArk has acquired identification governance and administration (IGA) platform Zilla Safety in a deal price as much as $175 million.
The transaction consists of a $165 million money portion and an extra $10 million “earn-out” which is payable upon assembly sure milestones — it may be seen as an incentive for the founders or key personnel to hold about via the transition section.
Based in 1999, Boston-based CyberArk focuses on entry administration, together with privileged entry security which helps organizations shield delicate knowledge and significant infrastructure from exterior (and inside) threats.
Zilla, for its half, is one other Boston-based security firm working within the identification and entry administration realm. Based in 2019, Zilla is a nimbler cloud-native participant that has been including extra automation and AI-enabled options to its platform prior to now few years, making it an alluring proposition for a corporation based within the early days of the online earlier than SaaS or cloud computing had taken maintain.
“What labored 20 years in the past clearly doesn’t work in the present day,” Zilla CEO and co-founder Deepak Taneja stated in an announcement.
The lengthy and wanting all that is that CyberArk desires to bolster its personal merchandise with instruments “purpose-built for the cloud,” with AI at its core and straightforward integrations for hybrid- and multi-cloud environments.
“By increasing the CyberArk Identification Safety Platform with Zilla’s trendy IGA capabilities, we’ll reshape identification governance with scalable automation that delivers compliance and helps maximize security for the trendy enterprise,” CyberArk CEO Matt Cohen added in an announcement.
That’s to not say that CyberArk hasn’t already been modernizing. The corporate went public on the Nasdaq in 2014, and its shares presently sit greater than 1,000% up on its IPO value — and prior to now 12 months alone, its valuation has surged 41% to greater than $18 billion. Earlier in the present day, the corporate posted its This autumn outcomes that exposed a year-on-year income hike of 41%. Particularly, its subscription income particularly grew by 62%, with its annual recurring income (ARR) surpassing the $1 billion mark.
Because of the transaction, CyberArk will provide key Zilla companies — together with Zilla Comply and Zilla Provisioning — as standalone merchandise via the CyberArk identification security platform. Moreover, Zilla’s co-founders — Deepak Taneja and Nitin Sonawane — and their workforce will probably be becoming a member of CyberArk.
