US non-public fairness fund Perception Companions is in talks to promote Israeli cybersecurity firm Armis to US non-public fairness agency Thoma Bravo at an organization valuation of $5 billion, sources acquainted with the negotiations have informed “Globes.”
The deal will probably be accomplished by promoting management to Thomas Bravo at a valuation of $5 billion and by injecting lots of of hundreds of thousands of {dollars} into the corporate’s coffers. At this stage, it’s unknown what the holding share of present shareholders might be.
If the deal is accomplished, Perception Companions, which focuses on younger development firms, will generate revenue of $2-3 billion, whereas different main shareholders embody Canadian fund Georgian, Chicago-based GT Squared, and New York-based One Fairness Companions, for whom the funding is managed by Ori Cohen. Different buyers embody Capital G, Brookfield, Normal Catalyst and Alkeon Capital.
Nearing an IPO?
In response to PitchBook’s funding database, since its acquisition by Perception Companions in 2020, which was meant to enhance the corporate for a sale, Armis has raised over $800 million in enterprise capital and loans from Hercules Capital
The corporate introduced earlier this month that its annual income development charge (ARR) is reaching about $300 million – a $100 million enhance over 2024. Contemplating this, this can be a valuation a number of relative to ARR of solely 16-17, low in comparison with the double-digit multiples at which cybersecurity firms like Wiz or Dazz have been acquired not too long ago. The corporate was solely not too long ago valued at $4.5 billion throughout a non-public sale of shares (a “secondary” spherical) wherein long-time buyers and staff bought shares totaling $100 million.
The sale to Thomas Bravo may very well be forward of an IPO. Previously, the folks at Armis have said that they wish to take the corporate on this course, and Thoma Bravo, which invests in pre-IPO firms, because it did, for instance, with Israeli firm ironSource, could profit from this. For Perception Companions, which is at the moment elevating its 13 th fund and is enthusiastic about displaying buyers a fast return, this can be a enough deal within the present timeframe, with out ready for the IPO. An acquisition by a non-public fairness fund, on this case, a change of arms between Perception Companions and Thoma Bravo, serves primarily to liquidate the previous’s stake whereas giving the next worth to the acquired firm, and permitting it to proceed to enhance its enterprise efficiency, or put together for an IPO
Armis operates within the essential infrastructure safety, industrial and medical units markets, and competes with different Israeli firms reminiscent of Axonius, Claroty and Shalev Hulio’s Dream Safety. The corporate was based by Yevgeny Dibrov and Nadir Izrael, serial entrepreneurs who’ve additionally invested in different cybersecurity firms and enterprise capital funds – reminiscent of Gili Raanan’s Cyberstarts. Armis has 900 staff and clients embody Colgate-Palmolive, airline giants reminiscent of United, and the US Postal Service.
Printed by Globes, Israel enterprise information – en.globes.co.il – on August 18, 2025.
© Copyright of Globes Writer Itonut (1983) Ltd., 2025.
