Sophos Leads Cybersecurity Charge with Secureworks Acquisition
Deal News | Feb 03, 2025 | Globenewswire
Sophos, a leading company in cybersecurity, has acquired Secureworks, a fellow cybersecurity pioneer. The acquisition, which was valued at approximately $859 million, positions Sophos as the largest pure-play cybersecurity provider of Managed Detection and Response (MDR) services. This deal enables Sophos to enhance its security operations platform, integrating Secureworks' capabilities like the Counter Threat Unit and advisory teams. Sophos aims to deliver adaptive protection, enhance operational scalability, and improve cybersecurity defenses. Backed by the private equity firm Thoma Bravo, Sophos plans to integrate the innovative services and technologies of Secureworks into its product portfolio, furthering its leadership in the sector, especially in areas such as AI-driven threat detection and response. The acquisition strengthens Sophos' MDR solutions while offering end-to-end security solutions for more than 600,000 organizations globally.
Sectors
- Cybersecurity
- Private Equity
- Technology
Geography
- United Kingdom – Sophos is headquartered in Oxford, UK, and plays a significant role in the transaction.
- United States – Secureworks is based in Atlanta, and the transaction significantly involves major US-based firms and financial institutions.
Industry
- Cybersecurity – The core focus of the transaction, involving two major cybersecurity firms enhancing their capabilities in threat detection and response services.
- Private Equity – The acquisition is backed by Thoma Bravo, a major investment firm specializing in software and technology companies.
- Technology – Both companies are technology-driven, providing advanced solutions and services to protect against cyber threats.
Financials
- $859,000,000 – Total value of the acquisition of Secureworks by Sophos.
- $8.50 – Per share cash received by Secureworks shareholders.
- 28% – Premium to the unaffected 90-day volume-weighted average price (VWAP) for Secureworks shares.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Sophos | Bidding Company | Company | A global leader in cybersecurity, providing advanced security solutions and services. |
| Secureworks | Target Company | Company | A cybersecurity firm specialized in threat detection and response services, recently acquired by Sophos. |
| Thoma Bravo | Private Equity Backer | Company | A leading private equity investment firm focused on the software and technology sectors. |
| Kirkland & Ellis LLP | Legal Advisor to Sophos | Company | Provided legal counsel for the transaction. |
| Goldman Sachs & Co. LLC | Financial Advisor to Sophos | Company | Acted as a financial advisor and provided debt financing for the transaction. |
| Barclays | Financial Advisor to Sophos | Company | Strategized financial aspects for Sophos in the acquisition. |
| BofA Securities | Financial Advisor to Sophos | Company | Provided financial advisory services for the acquisition. |
| HSBC Securities (USA) Inc. | Financial Advisor to Sophos | Company | Collaborated on financial planning for the deal. |
| UBS Investment Bank | Financial Advisor to Sophos | Company | Supported Sophos with financial insights and structure. |
| Piper Sandler & Company | Financial Advisor to Secureworks | Company | Advised Secureworks on financial aspects of the transaction. |
| Morgan Stanley & Co. LLC | Financial Advisor to Secureworks | Company | Assisted Secureworks with financial guidance for the acquisition. |
| Paul, Weiss, Rifkind, Wharton & Garrison LLP | Legal Advisor to Secureworks | Company | Provided legal services to Secureworks for the transaction. |
| Dell Technologies | Participant | Company | A major shareholder of Secureworks, involved in the shareholder transactions. |