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Proofpoint in talks to acquire Israeli cybersecurity company Varonis
calcalistech.com • • business
Key Points:
- American cybersecurity firm Proofpoint is reportedly in talks to acquire Israeli cybersecurity company Varonis Systems, potentially uniting two key players under private equity firm Thoma Bravo.
- Varonis' market capitalization rose over 10% to approximately $5.37 billion following acquisition rumors, indicating investor expectations of a premium buyout offer.
- Varonis specializes in cloud-based data security using AI-powered automation and employs over 2,400 people globally, with headquarters in Miami.
- Founded in 2004 and publicly listed since 2014, Varonis is transitioning from traditional software to a SaaS model, which has impacted its profitability despite strong revenue growth projections.
- The company is forecasted to generate $735 million in revenue by 2026 with operating profits between $11 million and $13 million, highlighting ongoing challenges balancing growth and profitability.
