Combined Capabilities Will Set New Paradigm for
End-to-End Machine Identity Security
CyberArk (NASDAQ: CYBR), the identity security company, today
announced the successful completion of its acquisition of Venafi, a
leader in machine identity management, from Thoma Bravo. This
acquisition enables CyberArk to further deliver on its vision to
secure every identity – human and machine – with the right level of
privilege controls. Together, CyberArk and Venafi will build
end-to-end machine identity security solutions that help
organizations vastly improve security and stop costly outages.
Venafi adds complementary solutions that expand CyberArk’s total
addressable market by $10 billion to approximately $60 billion.
“We are thrilled to officially welcome the exceptional Venafi
team to CyberArk. Over the past months, every interaction has
further validated that this acquisition is a great fit from all
perspectives – technology, people, culture and spirit of
innovation,” said Matt Cohen, Chief Executive Officer, CyberArk.
“Machines are the fastest growing and most complex identity and
today, many organizations rely on manual processes and siloed tools
to secure and manage them. By joining forces, CyberArk and Venafi
will set a new paradigm, with the industry’s most comprehensive
platform for end-to-end machine identity security at enterprise
scale.”
Ongoing digital transformation, pervasive cloud computing and
the rise of AI are driving an exponential increase in the number of
machine identities, which can outnumber human identities by as much
as 45-to-1, many of which remain undetected. If left unprotected
and unmanaged, these identities can serve as a lucrative hunting
ground for cybercriminals who seek to exploit their
vulnerabilities. A new paradigm is required to keep pace with this
rapid proliferation – shifting from inefficient manual, siloed
approaches that create compliance and security risks to centralized
management of machine identities across all applications and
workloads for any cloud or IT environment at scale.
“CyberArk's acquisition of Venafi underscores the growing
recognition of the critical role machine identities play in
securing modern digital environments,” said Katie Norton, Research
Manager, DevSecOps and Software Supply Chain Security at IDC.
“While organizations have heavily invested in human identity
security, the automation and management of credentials for machine
identities has not historically received the same attention.
Together, the companies' complementary capabilities should enable
organizations to implement a more comprehensive machine identity
security strategy, reducing risk and enhancing operational
efficiency.”
All machine identities, including workloads, code, applications,
IoT devices and containers, must be discovered, managed, secured
and automated to keep their connections and communications safe.
The combination of Venafi’s certificate lifecycle management,
enterprise Public Key Infrastructure (PKI), workload identity
management, secure code signing and SSH security with CyberArk’s
secrets management capabilities, will empower organizations to
protect against misuse and compromise of machine identities at
scale.
Details Regarding the Acquisition
Under the terms of the agreement, CyberArk acquired Venafi for
approximately $1.54 billion in a combination of cash and CyberArk
ordinary shares (approximately $1 billion in cash and approximately
$540 million in ordinary shares).
Advisors
Morgan Stanley & Co. LLC served as exclusive financial
advisor to CyberArk, and Latham & Watkins LLP served as legal
counsel to CyberArk. Piper Sandler served as exclusive financial
advisor to Thoma Bravo and Venafi, and Kirkland & Ellis LLP
served as legal counsel to Thoma Bravo and Venafi.
About CyberArk
CyberArk (NASDAQ: CYBR) is the global leader in identity
security. Centered on intelligent privilege controls, CyberArk
provides the most comprehensive security offering for any identity
– human or machine – across business applications, distributed
workforces, hybrid cloud environments and throughout the DevOps
lifecycle. The world’s leading organizations trust CyberArk to help
secure their most critical assets. To learn more about CyberArk,
visit https://www.cyberark.com, read the CyberArk blogs or follow
on LinkedIn, X, Facebook or YouTube.
About Venafi
Venafi is a cybersecurity market leader and the category creator
of machine identity management, securing machine-to-machine
connections and communications. Venafi protects machine identity
types by orchestrating cryptographic keys and digital certificates
for SSL/TLS, SSH, code signing, mobile and IoT. Venafi provides
global visibility of machine identities and the risks associated
with them for the extended enterprise—on premises, mobile, virtual,
cloud and IoT—at machine speed and scale. Venafi puts this
intelligence into action with automated remediation that reduces
the security and availability risks connected with weak or
compromised machine identities while safeguarding the flow of
information to trusted machines and preventing communication with
machines that are not trusted.
About Thoma Bravo
Thoma Bravo is one of the largest software-focused investors in
the world, with approximately US$160 billion in assets under
management as of June 30, 2024. Through its private equity, growth
equity and credit strategies, the firm invests in growth-oriented,
innovative companies operating in the software and technology
sectors. Leveraging Thoma Bravo’s deep sector knowledge and
strategic and operational expertise, the firm collaborates with its
portfolio companies to implement operating best practices and drive
growth initiatives. Over the past 20+ years, the firm has acquired
or invested in more than 490 companies representing approximately
US$265 billion in enterprise value (including control and
non-control investments). The firm has offices in Chicago, London,
Miami, New York and San Francisco. For more information, visit
Thoma Bravo’s website at thomabravo.com.
Copyright © 2024 CyberArk Software. All Rights Reserved. All
other brand names, product names, or trademarks belong to their
respective holders.
Cautionary Language Concerning Forward-Looking
Statements
This release contains forward-looking statements, which express
the current beliefs and expectations of CyberArk’s (the “Company”)
management. In some cases, forward-looking statements may be
identified by terminology such as “believe,” “may,” “estimate,”
“continue,” “anticipate,” “intend,” “should,” “plan,” “expect,”
“predict,” “potential” or the negative of these terms or other
similar expressions. Such statements involve a number of known and
unknown risks and uncertainties that could cause the Company’s
future results, levels of activity, performance or achievements to
differ materially from the results, levels of activity, performance
or achievements expressed or implied by such forward-looking
statements. Important factors that could cause or contribute to
such differences include risks relating, but not limited to: risks
related to the Company’s acquisition of Venafi Holdings, Inc.
(“Venafi”), including impacts of the acquisition on the Company’s
or Venafi’s operating results and business generally; the ability
of the Company or Venafi to retain and hire key personnel and
maintain relationships with customers, suppliers and others with
whom the Company or Venafi do business; risks that Venafi’s
business will not be integrated successfully into the Company’s
operations; risks relating to the Company’s ability to realize
anticipated benefits of the combined operations after the Venafi
acquisition; changes to the drivers of the Company’s growth and the
Company’s ability to adapt its solutions to the information
security market changes and demands, including artificial
intelligence (“AI”); the Company’s ability to acquire new customers
and maintain and expand the Company’s revenues from existing
customers; intense competition within the information security
market; real or perceived security vulnerabilities, gaps, or
cybersecurity breaches of the Company, or the Company’s customers’
or partners’ systems, solutions or services; risks related to the
Company’s compliance with privacy, data protection and AI laws and
regulations; the Company’s ability to successfully operate its
business as a subscription company and fluctuation in the quarterly
results of operations; the Company’s reliance on third-party cloud
providers for its operations and software-as-a-service (“SaaS”)
solutions; the Company’s ability to hire, train, retain and
motivate qualified personnel; the Company’s ability to effectively
execute its sales and marketing strategies; the Company’s ability
to find, complete, fully integrate or achieve the expected benefits
of additional strategic acquisitions; the Company’s ability to
maintain successful relationships with channel partners, or if the
Company’s channel partners fail to perform; risks related to sales
made to government entities; prolonged economic uncertainties or
downturns; the Company’s history of incurring net losses, the
Company’s ability to generate sufficient revenue to achieve and
sustain profitability and the Company’s ability to generate cash
flow from operating activities; regulatory and geopolitical risks
associated with the Company’s global sales and operations; risks
related to intellectual property claims; fluctuations in currency
exchange rates; the ability of the Company’s products to help
customers achieve and maintain compliance with government
regulations or industry standards; the Company’s ability to protect
its proprietary technology and intellectual property rights; risks
related to using third-party software, such as open-source
software; risks related to stock price volatility or activist
shareholders; any failure to retain the Company’s “foreign private
issuer” status or the risk that the Company may be classified, for
U.S. federal income tax purposes, as a “passive foreign investment
company”; risks related to the Company’s Convertible Senior Notes
due 2024 (the “Convertible Notes”), including the potential
dilution to existing shareholders and the Company’s ability to
raise the funds necessary to repurchase the Convertible Notes;
changes in tax laws; the Company’s expectation to not pay dividends
on the Company’s ordinary shares for the foreseeable future; risks
related to the Company’s incorporation and location in Israel,
including the ongoing war between Israel and Hamas and conflict in
the region; and other factors discussed under the heading “Risk
Factors” in the Company’s most recent annual report on Form 20-F
filed with the Securities and Exchange Commission. Forward-looking
statements in this release are made pursuant to the safe harbor
provisions contained in the U.S. Private Securities Litigation
Reform Act of 1995. These forward-looking statements are made only
as of the date hereof, and the Company undertakes no obligation to
update or revise the forward-looking statements, whether as a
result of new information, future events or otherwise, except as
required by applicable law.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240930990953/en/
Investor Relations: Srinivas Anantha, CFA CyberArk
617-558-2132 ir@cyberark.com Media: Nick Bowman CyberArk +44
(0) 7841 673378 press@cyberark.com
CyberArk Software (NASDAQ:CYBR)
Historical Stock Chart
From Oct 2024 to Nov 2024
CyberArk Software (NASDAQ:CYBR)
Historical Stock Chart
From Nov 2023 to Nov 2024
