Israeli cybersecurity company SentinelOne (NYSE: S) has announced that it is acquiring US company Attivo Networks, which is an identity security and lateral movement protection company, for $616.5 million in cash and stock. Attivo Networks is a privately-held company whose investors include Bain Capital Ventures, Energy Impact, Omidyar, Macnica, ForgePoint, SingTel and innov8.
SentinelOne said that the acquisition will expand its market by $4 billion to include rapidly growing categories in identity security. The deal is due to close in the second fiscal quarter (by the end of July 2022) subject to regulatory and other approvals.
SentinelOne COO Nicholas Warner said, "The shift to hybrid work and increased cloud adoption has established identity as the new perimeter, highlighting the importance of visibility into user activity. Identity Threat Detection and Response (ITDR) is the missing link in holistic XDR and zero trust strategies. Our Attivo acquisition is a natural platform progression for protecting organizations from threats at every stage of the attack lifecycle."
SentinelOne, led by cofounder and CEO Tomer Weingarten, held its Wall Street IPO last June for $35 per share at a company valuation of $9 billion. In November the share price had jumped to $76.3 but has since fallen back to $29.60, reflecting a market cap of $7.9 billion. As part of the IPO, SentinelOne raised $1.2 billion, so that it has cash in its coffers for growth acquisitions.
SentinelOne will publish its annual 2021 financial report after the market closes tonight.
Published by Globes, Israel business news - en.globes.co.il - on March 15, 2022.
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