When FireEye reported its earnings last month, the outlook was a bit clearer, so the security provider decided to be proactive and make a big purchase. Today, the company announced that it acquired Verodin for $ 250 million. The deal closed today.
The startup had raised more than $ 33 million since it opened five years ago, according to data from Crunchbase, and it appears to have given investors a decent return. With Verodin, FireEye gets a security validation provider; that is, a company that can perform a review of the existing security configuration and find gaps in coverage.
That seems to be a kind of useful tool to have in your security arsenal, and it could possibly explain the price. Maybe it could also help to set FireEye Apart from the wider market, or fill a space on your own platform.
FireEye CEO Kevin Mandia certainly sees the potential in his latest purchase. “Verodin “It gives us the ability to automate security effectiveness testing using the sophisticated attacks that we spend hundreds of thousands of hours responding to, and it provides a systematic, quantifiable, and ongoing approach to validating security programs,” he said in a release.
Chris Key, co-founder and CEO of Verodin, views the purchase through the standard acquisition lens. “By joining FireEye, Verodin expands its ability to help customers take a proactive approach to understanding and mitigating the unique risks, inefficiencies and vulnerabilities in their environments,” it said in a statement. In other words, as part of a larger company, we will do it faster.
While FireEye plans to incorporate Verodin into its local and managed services, it will also continue to sell the solution as a standalone product.
