Israeli cybersecurity company HUB Security (TASE: HUB) has announced the acquisition of Israeli cybersecurity company Comsec Global for NIS 70 million, of which HUB will pay NIS 40 million in cash and NIS 30 million in shares.
HUB Security said that the main goal of the acquisition is to increase its international sales and distribution network by over 40 countries. HUB Security says that this will allow it to more than double revenue.
Comsec chairman and controlling shareholder Rony Sternbach said, "HUB has developed a technology that can cause a paradigm shift in the cybersecurity market. HUB's solution was considered to be the holy grail long awaited by governments and enterprises worldwide. The combination between the two companies creates a unique entity that has a strong foundation of global cyber business coupled with an unparalleled growth potential that leverages upon a 40-country sales infrastructure. In our opinion, this is a classic case of 1+1 equals 10 and not two."
Founded in 1987, Comsec has pioneered data security and has an extensive customer base spanning over a thousand leading companies in 40 countries across five continents. The company operates four consulting and distribution companies and has subsidiaries in the UK and the Netherlands. Comsec has annual turnover of NIS 120 million.
HUB Security was established in 2017 by veterans of the IDF's 8200 and 81 intelligence units. The company specializes in protecting sensitive commercial information and has an advanced encrypted computing solution for companies and organizations aimed at preventing hostile intrusions and the theft of sensitive commercial information.
Hub offers cybersecurity solutions to the AI, Fintech, and critical infrastructure sectors and has 400 employees in Israel and the US.
HUB Security CEO Eyal Moshe said, "Comsec is a long-standing and valued global cyber-security company. The high synergies between the companies will enable us to accelerate the introduction of our unique solutions, to enterprise customers globally."
Published by Globes, Israel business news - en.globes.co.il - on September 30, 2021
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