Cybersecurity Acquisitions in 2017

Barracuda Networks acquired PhishLine, a Waukesha, Wisconsin–based SaaS provider of social engineering simulation and security awareness training. The acquisition expands Barracuda’s email and security training capabilities by integrating PhishLine’s phishing simulation, analytics and training platform into Barracuda’s portfolio.

Network Security Group (NSG), the cybersecurity distribution arm of Temprano Techvestors, acquired the software distribution and value-added resale division of New Jersey-based Waytek Software. The deal adds Waytek's Avast Business line to NSG's partner offerings while Waytek will concentrate on its managed services business.

Funds managed by Blackstone Tactical Opportunities acquired a majority stake in TITUS, an Ottawa-based provider of data classification and categorization solutions; terms were not disclosed. Blackstone said the investment will help TITUS accelerate its product innovation and expand geographic reach as the company — which serves millions of users and over 950 enterprise customers — scales globally.

Booz Allen Hamilton has entered into an agreement to acquire Morphick, Inc., a Cincinnati-area provider of adaptive managed detection and response (MDR) technology and services. The acquisition — expected to close in the third quarter of FY2018 — expands Booz Allen's managed security portfolio and strengthens its detection and response capabilities for commercial clients.

Keensight Capital has taken a minority stake in I-Tracing, a Puteaux-based cybersecurity specialist, joining the two founding managers as shareholders. The investment will support I-Tracing — which operates SOC, managed services, integration, and forensics practices and has offices in London and Hong Kong — to accelerate growth and international development.

OpenText agreed to acquire Guidance Software, the maker of EnCase, in a cash tender offer valued at $7.10 per share (approximately $240 million equity value; ~$222 million enterprise value). The purchase expands OpenText's Discovery and information security capabilities by adding Guidance's digital investigation, forensic security and endpoint solutions; the deal was expected to close in Q3 2017.

Accenture has agreed to acquire the iDefense Security Intelligence Services business from VeriSign to bolster Accenture Security's threat intelligence capabilities. The transaction—terms undisclosed—transfers iDefense’s threat intelligence platform, APIs and expertise into Accenture’s security offerings to enhance threat detection, hunting and incident response for enterprise clients.

Imperva, Inc. acquired the data security assets of Camouflage Software, a St. John's–based data masking vendor, and hired nearly all of Camouflage's employees. The acquisition integrates Camouflage’s data masking capabilities into Imperva’s portfolio to enhance data protection, compliance and breach-mitigation functionality for enterprise customers.

Cyber Risk Management, LLC (CRM), a Tampa-based data risk management services firm, has acquired Sunera, a risk-based cybersecurity and governance/regulatory compliance consulting firm. The acquisition adds Sunera’s ~150 employees and 17-market footprint across the U.S. and Canada to CRM’s capabilities and expands CRM’s technology risk and compliance services for mid-to-large enterprises and government clients.

Corbel Capital Partners completed a structured non-control growth investment in ARES Security Corporation to support accelerated product development, operational expansion and international growth. ARES Security, a Vienna, Virginia-based provider of enterprise security risk management and simulation software (AVERT), will use the capital to expand its product portfolio and scale sales and delivery.

Arxan Technologies has acquired Apperian, a Boston-based mobile application management (MAM) and security platform, to expand Arxan's mobile and IoT application protection and management capabilities. Apperian will operate as a subsidiary led by Mark Lorion, enabling Arxan to offer an integrated solution for enterprise app protection, distribution and management across unmanaged devices and BYOD scenarios.