Chip giant ARM is is acquire Israeli company Sansa Security (formerly Discretix Technologies), located in Kfar Netter. The price is estimated at $75-85 million. "Globes" first reported that the companies were in advanced talks in May.
The Israeli company has developed security solutions for cellular devices and flash memory. According to the IVC database, Sansa Security has raised $32 million since it was founded in 2000, meaning that the investors will make back about double their money. Prominent investors in the company over the years include the Sequoia Capital, Accel Partners, Genesis Partners, Pitango Venture Capital, and Poalim Ventures funds.
ARM will make the company its development center in Israel. ARM's market cap on Nasdaq is $22 billion.
Gal Salomon, David Deitcher, and Limor Albaz founded Discretix in 2000. Salomon was company CEO for the first 10 years, before deciding to cross the lines and become a partner in Pitango in 2010, with Pitango investing in Discretix. He was appointed chairman of Discretix, and Coby Sella was appointed CEO.
After 15 years of doing business, Discretix was working with leading chip and mobile companies, including Intel, Motorola, and others, and the founders had big plans for the company's future. The company began making a profit in 2005, and the fact that its last financing round was completed in late 2006 shows that its revenue and profits kept it afloat for quite a few years.
At the same time, in a "Globes" interview following his company's selection as one of "Globes'" most promising startups, then-CEO Salomon said that his company's intentions were greater than its sales, while its return for the investors was relatively low. "I don't know when we'll hold an offering, but an IPO is starting to look realistic," Salomon said back in October 2007.
Published by Globes [online], Israel business news - www.globes-online.com - on July 30, 2015
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