Sophos Acquires Secureworks for US$859 Million

IT security company Sophos completed the acquisition of Secureworks for about US$859 million. With this purchase, Sophos consolidates its position as the leading provider of managed detection and response (MDR) services globally, serving over 28,000 organizations.

"The market is embracing MDR as a key strategy for improving cybersecurity, which has driven rapid growth in this category," says Joe Levy, CEO, Sophos.

The increasing sophistication of cyberattacks and the adoption of managed security models have driven demand for MDR solutions. Secureworks, known for its threat intelligence platform and security services, complements Sophos' capabilities, strengthening its cybersecurity portfolio with advanced technology and enhanced threat response capabilities. The acquisition, reads Sophos press release, also aims to strengthen Sophos' presence in the managed services market, a growing segment due to the complexity of protecting diversified enterprise environments.

With this acquisition, Sophos expands its security operations platform, integrating the Secureworks Counter Threat Unit threat intelligence unit and its consulting and operations teams. Sophos' open and scalable platform will enable organizations to optimize the protection of its current and future technology investments, improving operational efficiency and cybersecurity ROI.

Sophos maintains its focus on the channel model, supporting managed service providers with technologies that improve scalability and resilience to attacks. The company also plans to expand its portfolio with advanced identity threat detection and response (ITDR), risk management, and next-generation SIEM solutions.

In the short term, Sophos and Secureworks will continue to operate independently while working with their channel partners to continue to provide customer support and service renewals. Sophos protects over 600,000 customers with integrated endpoint, network, email, and cloud security solutions managed from the Sophos Central platform.

The transaction was completed for cash at a value of US$8.50 per share, representing a 28% premium over Secureworks' 90-day volume-weighted average price.