FireEye has agreed market its fledgling goods business to Symphony Know-how Group for $1.2 billion, undoing the 2014 acquisition that brought FireEye’s products and Mandiant’s services with each other.
The Milpitas, Calif.-dependent platform stability vendor stated its higher-advancement danger intelligence and incident response services small business will carry on to function as a publicly traded small business under the Mandiant Methods banner. In addition to purchasing the company’s community, email, endpoint and cloud stability portfolio, personal fairness company STG also acquired the FireEye title.
“After closing, we will be able to focus exclusively on scaling our intelligence and frontline abilities as a result of the Mandiant Advantage program, though the FireEye Items business enterprise will be capable to prioritize financial investment on its cloud-1st safety product portfolio,” FireEye CEO Kevin Mandia claimed in a statement.
[Related: McAfee Enterprise Business To Be Sold To STG For $4B]
STG has moved aggressively into cybersecurity about the past calendar year, paying for Bedford, Mass.-dependent encryption pioneer RSA in September 2020 for $2.08 billion and agreeing in March 2021 to get San Jose, Calif.-dependent McAfee’s organization enterprise for $4 billion. There is major overlap among the McAfee and FireEye merchandise portfolio, specifically in the network, endpoint, and cloud security domains.
“We are very impressed by the FireEye Merchandise enterprise and the mission important part it performs for its consumers,” STG Controlling Companion William Chisholm mentioned in a assertion. “We think there is monumental untapped prospect for the organization that we are energized to crystalize by leveraging our substantial safety computer software sector experience and our current market foremost carve-out knowledge.”
Wednesday’s proposed transaction undoes FireEye’s $1 billion acquisition of Mandiant in January 2014, which brought together network stability technology built to capture what more traditional firewalls missed with field-top incident response capabilities. Mandia founded Mandiant in 2004, and served as FireEye’s COO for two-and-a-half many years following the deal just before turning out to be CEO in June 2016.
FireEye’s stock is up $.17 (.75 %) to $22.70 in soon after-several hours buying and selling Wednesday. In addition to the company’s stage products and solutions, STG will also purchase FireEye’s stability management and orchestration platform. The sale of FireEye’s items organization is expected to near by the finish of 2021.
Right after the offer closes, FireEye and Mandiant will proceed to share technology, telemetry, risk intelligence, and abilities by way of a reseller and marketplace cooperation arrangement, a changeover companies settlement, and a strategic collaboration settlement. FireEye’s products organization will also reward from improved channel associations with MSSP suppliers based mostly on alliances with complementary distributors.
FireEye’s products, subscription and support business noticed meager expansion of 2.2 % in 2020, with revenue increasing to $724.9 million from $708.8 million a year earlier. Conversely, the company’s skilled solutions company – which prominently showcases Mandiant’s solutions choices – noticed income skyrocket to $215.6 million in 2020, up 19.6 percent from $180.3 million a year earlier.
