Sophos has completed its acquisition of Secureworks in an all-cash deal valued at approximately $859 million. As a result, Secureworks’ common stock is no longer trading on Nasdaq. Sophos, backed by software investment firm Thoma Bravo, aims to strengthen its cybersecurity services with this transaction.
The acquisition positions Sophos as a key provider of Managed Detection and Response (MDR) services, supporting more than 28,000 organizations worldwide. The company plans to integrate Secureworks’ security expertise into its operations, enhancing its threat intelligence and security services through the addition of Secureworks’ Counter Threat Unit and advisory teams.
“The market is embracing MDR as a clear means to deliver positive cybersecurity outcomes, and this has meant rapid growth in the category,” said Joe Levy, CEO, Sophos.
Under the agreement, Secureworks shareholders, including Dell Technologies, will receive $8.50 per share in cash, representing a 28% premium to the company’s unaffected 90-day volume-weighted average price.
Advancing AI, threat intelligence, and attack research
Kirkland & Ellis LLP served as legal counsel to Sophos, while multiple financial advisors, including Goldman Sachs & Co. LLC and Barclays, supported the transaction. Secureworks was advised by Piper Sandler & Company and Morgan Stanley & Co. LLC, with Paul, Weiss, Rifkind, Wharton & Garrison LLP serving as legal counsel.
Sophos also plans to leverage Secureworks’ global telemetry to advance its artificial intelligence (AI), threat intelligence, and attack research.
“We will also be able to further advance our AI, threat intelligence, and attack research through more diverse and deeper global telemetry that is analyst-tuned for the real world. At every level, we are very excited about this next accelerated chapter for Sophos,” Levy said.
For now, both companies will continue their operations as usual, working with their partners and customers to distribute security services and technologies. Sophos protects more than 600,000 customers with its cybersecurity solutions, which include MDR, endpoint, network, email, and cloud security.