US data security company Tenable Holdings (Nasdaq: TENB) has announced that it is acquiring Israeli cybersecurity company Vulcan Cyber. The deal is due to close in the first quarter of 2025, and will be Tenable's third acquisition in Israel over the past five years. While Vulcan Cyber claims Tenable is acquiring them for $180 million, Tenable insists the deal is for $150 million - $147 million in cash and $3 million in shares.
Vulcan Cyber was founded in 2018 by Yaniv Bar-Dayan, Tal Morgenstern and Roy Horev. The company has developed a platform for reducing cybersecurity risks for organizations. The company allows organizations to automatically identify, prioritize, and address security vulnerabilities using advanced AI technologies. According to the company, the solution it developed integrates with existing security systems and enables centralized management of all aspects of data security in the organization.
Tenable co-CEO and CFO Steve Vintz said, "CISOs are overwhelmed with scattered security products, siloed tools and disjointed teams which makes protecting their organizations from exposure a massive undertaking. As the pioneer behind Exposure Management, we are driven to solve this central challenge of modern security - a fragmented approach to identifying and combating cyber risk. That is what this acquisition is all about. With Vulcan, we’re accelerating our Tenable One vision to radically unify security visibility, insight and action across the attack surface - from the data center to the cloud - to rapidly expose and close the gaps that put businesses at risk."
Vulcan cofounder and CEO Yaniv Bar-Dayan added, "Integrating Vulcan Cyber’s capabilities into the Tenable One platform will uniquely address all exposure management use cases across the entire attack surface. For the first time at scale, security teams will be able to consolidate exposure findings from multiple sources into a single, actionable interface. We are excited to start working with Tenable and their customers to remediate exposure risk."
Vulcvan Cyber has raised $69 million to date. Among the investors in the company are YL Ventures, Wipro Ventures, Maor Investments, TenEleven, Dawn Capital and angel investors including Mickey Boodaei, Giora Yaron and Idan Plotnik.
Third acquisition in Israel
For Tenable, which provides services to 44,000 customers worldwide, this is the third acquisition in Israel. In September 2023, the company acquired Israel's Ermetic for $350 million, and before that, in 2019, it acquired Israel's Indegy for $78 million.
These acquisitions reflect a current trend in the cybersecurity market, in which large companies acquire younger companies in order to expand their product offering. Tenable's market cap is currently about $5.2 billion, and it has 2,500 employees worldwide.
According to Tenable, Vulcan Cyber ??will continue to operate from its offices in Israel, while maintaining local development activities. The company is expected to expand its development and sales team in the coming months, as part of Tenable's global expansion plan.
Published by Globes, Israel business news - en.globes.co.il - on January 29, 2025.
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