Proofpoint to acquire Israeli-founded Varonis in $6.3 billion all-cash deal

Key Points:

• U.S. cybersecurity firm Proofpoint is acquiring Israeli-founded data and AI security company Varonis in an all-cash deal valued at approximately $6.3 billion, representing a 52% premium over Varonis’ stock price prior to sale rumors.
• Varonis, founded in 2004, offers a cloud-based platform that uses AI-driven automation to identify, classify, and protect sensitive enterprise data, employing around 2,800 people globally, including 1,000 in Israel.
• The acquisition aims to create one of the world’s leading pure-play cybersecurity companies focused on data and AI security, serving over 16,000 enterprises worldwide with a unified platform to control data access and prevent loss.
• Proofpoint plans to integrate Varonis’ capabilities, align sales and marketing, and accelerate platform delivery post-acquisition, which is expected to close in the first half of 2027 pending approvals.
• The deal is backed by private equity firm Thoma Bravo and includes investment from Ontario Teachers' Pension Plan; after closing, Varonis will be delisted from Nasdaq and become privately held.