Thoma Bravo-backed cybersecurity firm Sophos on October 21, 2024, entered into a merger agreement to acquire SecureWorks Corp. (SCWX) for $859 million in an all-cash deal.
As per the terms of the agreement, Secureworks shareholders–including Dell Technologies (DELL)–will receive $8.50 per share in cash, representing a 0.35% premium from the stock’s last close.
SecureWorks is a global cybersecurity company based in Atlanta, Georgia, that provides security solutions to protect businesses from cyber threats. Their main product, the Secureworks Taegis platform, helps organizations detect and respond to attacks using advanced technology. With over 20 years of experience, SecureWorks serves a variety of industries, including finance, healthcare, and technology.
Sophos, backed by software investment firm Thoma Bravo, provides advanced security solutions to protect organizations from cyberattacks. They offer services like Managed Detection and Response (MDR), incident response, and a wide range of security technologies for endpoints, networks, email, and the cloud. Based in Oxford, U.K., Sophos serves over 600,000 organizations and 100 million users worldwide, helping them defend against threats like ransomware and phishing.
Private equity firm Thoma Bravo is curating a portfolio of cybersecurity assets, including its recent acquisition of the UK-based Darktrace for approximately $5.3 billion earlier this year.
Reuters in August had reported that Dell was exploring a possible sale of SecureWorks. The stock was trading at $7.25 before the reports of the personal computer maker tapping bankers to gauge takeover interest for SecureWorks were made public. Dell had tried to explore the sale of SecureWorks back in 2019.
In 2011, Dell acquired Secureworks for $612 million, before its initial public offering on the New York Stock Exchange in 2016.
Through this deal, which is anticipated to be finalized in early 2025, UK-based Sophos is acquiring SecureWorks at 2.05 times the sales.
For a more in-depth understanding of this M&A transaction, please refer to the Deal Metrics page here:
Deal Metrics for the acquisition of SecureWorks Corp. (SCWX) by Sophos.
The Deal Metrics page for each merger or acquisition includes:
Disclaimer: Please do your own due diligence before buying or selling any securities mentioned in this article. We do not warrant the completeness or accuracy of the content or data provided in this article.
Editor’s Note: Baranjot Kaur contributed to this article