Thoma Bravo to acquire cybersecurity firm Proofpoint
(Reuters) — Private equity firm Thoma Bravo said Monday it would buy cybersecurity company Proofpoint Inc. for about $10.1 billion, at a time when remote working due to the pandemic has fueled a surge in demand for network security.
Interest in cybersecurity companies has soared as more businesses turn to the cloud to run their operations and amid frequent cyberattacks. Cybersecurity industry funding reached an all-time high of $11.4 billion last year, a nearly 50% increase from 2018, according to CB Insights.
The deal, expected to close in the third quarter, will fetch Proofpoint shareholders $176 per share held, indicating a premium of about 34% to the stock's last close. The company's shares rose 32% in pre-market trading.
The offer values Proofpoint at about $12.3 billion, the company said.
Thoma Bravo, which is largely software and tech focused, has been doubling down on its investments in the sector. It acquired online trading services provider Calypso Technology and data solutions company Talend in March.
Sunnyvale, California-based Proofpoint also reported first-quarter earnings on Monday, topping Wall Street estimates for revenue and profit per share.
However, the company has canceled its earnings call scheduled for April 29 due to the deal.
