Highlights –

  • According to CNBC, the deal is not sealed and talks may fall apart.
  • Radware provides enterprises with cybersecurity services by protecting their systems and data centers from targeted attacks.
  • In the wake of the COVID-19 pademic, the current year has seen a record number of private equity deals for cybersecurity firms.

According to people familiar with the matter, Radware, a provider of cybersecurity and application delivery solutions, has decided to sell itself to private equity tech-focused investment firm Siris Capital. Radware specializes in detecting and stopping targeted server attacks and has a market valuation of about $1.7 billion.

So far, the deal is yet to be confirmed and chances are ripe that it may fall apart, reported CNBC. Both the companies, Radware and Siris, are yet to come up with any statements on this matter. With international headquarters in Tel Aviv and US headquarters in Mahwah, New Jersey, Radware employs more than 1,000 staff memebers.

On the other hand, Siris Capital, a tech-focused investment firm, has raised over $5.9 billion of cumulative committed capital. Spokesperon at both sides, Siris Capital and Radware, refused to comment about the news.

Capital investments details

With a current market evaluation of about USD 1.7 billion, Radware stands strong in providing cybersecurity services to companies by protecting them from targeted denial-of-service (DoS) attacks by malicious actors.

As a private equity firm that invests mostly in mission-critical, mature tech and telecom businesses at strategic crossroads, Siris recently raised a cumulative committed capital of over USD5.9 billion.

The competitor list of Radware includes Cloudflare, F5, and Akamai Technologies. Cloudflare shares have increased by 270% since last year. The rising importance of defending against cybersecurity attacks is the primary reason behind the shares surge in the past year.

Since the pandemic started, cybersecurity has remained one of the most critical investment concerns for venture capitalists as companies are migrating toward digital footprint as well as e-commerce and remote work.

According to Pitchbook, last month, the global deal volume for private equity cybersecurity deals surpassed USD23 billion in 2021, a record high for the industry. The largest-ever private equity accession of a cybersecurity firm this year was that of Thoma Bravo’s USD12.3 billion acquisition of Proofpoint in April.