Radware, a cybersecurity firm specializing in detecting and stopping targeted server attacks, is in talks to sell itself to private equity firm Siris Capital, officials said.
No deal is guaranteed and talks could still fail, said the people, who asked not to be named because the discussions are private.
Radware has a market value of approximately $1.7 billion and competes with companies such as Cloudflare, F5 and Akamai, which protect corporate websites from targeted denial-of-service attacks by malicious actors. Cloudflare, in particular, has seen its stock rise in the past year as investors have seen the increasing importance of defending against cybersecurity attacks. Cloudflare stocks are up about 270% in the past 12 months.
Private equity firms have become increasingly interested in acquiring cybersecurity firms as the threat of attacks has increased. Global deal volume for private equity cybersecurity deals passed $23 billion in 2021 last month, an industry record, according to Pitchbook. Thoma Bravo’s $12.3 billion acquisition of Proofpoint in April was the largest private equity buyout of a cybersecurity firm ever.
Radware has more than 1,000 employees and has an international headquarters in Tel Aviv, Israel, and a US headquarters in Mahwah, New Jersey.
Spokespersons for Siris Capital and Radware declined to comment. Radware stock peaked on the news, rising about 10% for the day during afternoon trading.
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