Israeli cloud security company Wiz is to acquire Israeli cybersecurity company Gem Security, according to sources close to the deal, who said that Wiz will be paying $350 million in cash.
Gem Security was founded in 2022 by CEO Arie Zilberstein, CTO Ron Konigsberg and VP product Ofir Brukner, who are graduates of the IDF 8200 intelligence unit. Last September Gem Security raised $23 million in a Series A financing round.
Gem Security, like Wiz, operates in the cloud security sector, and sources close to the deal said that Gem's technology will be embedded into Wiz's platform. All of Gem Security's 70 employees in Israel and the US will join Wiz.
Wiz said, "This is an exciting time for Wiz. Although we cannot talk about specific moves until they are officially completed, the company is at a unique point in time in examining mergers and acquisitions that will expand the value offered by our technology to customers. With $900 million in cash and $350 million annual recurring revenue (ARR) and more than 40% of Fortune 1000 companies as customers, Wiz stands out as a major player in the global cybersecurity industry."
The company also said, "We regularly examine opportunities that not only accelerate our growth but also are suitable for our ambitious plans to hire employees."
Published by Globes, Israel business news - en.globes.co.il - on March 13, 2024.
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