CyberSecurity X M&A

The cybersecurity landscape has evolved rapidly in recent years, driven by increasing digitalization and the growing sophistication of cyber threats. This dynamic environment has spurred a surge in M&A activity within the cybersecurity sector.

Cybersecurity M&A has experienced a strong resurgence in 2024. Following a decline of 18.8% in 2023, M&A activity in the cybersecurity sector has increased by 13.6% year-to-date. This could indicate a growing confidence among investors and acquirers in the cybersecurity market.

One of the primary reasons for this trend is the need for cybersecurity companies to expand their product and service offerings. By acquiring smaller, specialized firms, larger companies can quickly add new capabilities to their portfolios, such as advanced threat detection, incident response, or cloud security solutions.

A few examples of this:?

• Cloud security company Akamai Technologies is buying Noname Security, a company that specializes in protecting application programming interfaces (APIs), for approximately $450 million. This acquisition will allow Akamai to enhance its ability to safeguard all of it’s API traffic locations.

• Cybersecurity company CyberArk is acquiring Venafi, a firm that specializes in managing machine identities, for $1.54 billion. By combining their strengths, CyberArk will be able to offer a comprehensive platform for protecting machine identities within large organizations.

• GitLab, a platform for DevSecOps, has purchased Oxeye, a company that provides cloud-native application security and risk management solutions. By acquiring Oxeye, GitLab can speed up its development of static application security testing (SAST) tools and enhance its existing software composition analysis and compliance features.

Aurigin can help cybersecurity companies in their journey of either selling or buying potential targets, with the help of our proprietary sourcing and matching, whilst maintaining full confidentiality between parties.