Sophos, a global provider of cybersecurity solutions, has announced a definitive agreement to acquire Secureworks in an all-cash deal valued at $859 million. Secureworks shareholders will receive $8.50 per share in cash, representing a 28% premium to its 90-day average share price.
The acquisition, expected to close in early 2025, is part of Sophos’ strategy to strengthen its cybersecurity offerings for organizations of all sizes.
The deal will combine the strengths of both companies’ AI-driven security platforms, to improve the detection, prevention, and response to modern cyber threats. Sophos will integrate Secureworks’ security operations expertise, including its Taegis platform, into its existing portfolio, further enhancing its Managed Detection and Response (MDR) and Extended Detection and Response (XDR) capabilities.
“Secureworks’ renowned expertise in cybersecurity perfectly aligns with our mission to protect businesses from cybercrime by delivering powerful and intuitive products and services,” Joe Levy, CEO of Sophos, said in a media advisory. “This acquisition represents a significant step forward in our commitment to building a safer digital future for all.”
Both companies share a long-standing commitment to innovative cybersecurity, and integrating their platforms may result in faster and more effective solutions against cybercriminals. Secureworks’ Taegis XDR platform is already embedded in the security operations of thousands of organizations worldwide, delivering AI-powered capabilities to detect threats and streamline incident response.
Expanding cybersecurity services
“Our mission at Secureworks has always been to secure human progress,” said Wendy Thomas, CEO of Secureworks. “Sophos’ portfolio of leading endpoint, cloud, and network security solutions, combined with our XDR-powered managed detection and response, is exactly what organizations need to strengthen their defenses against evolving threats.”
Sophos, which is backed by the private equity firm Thoma Bravo, plans to expand its offerings with new services such as identity detection and response (ITDR), operational technology (OT) security, and enhanced vulnerability risk prioritization. The combined company will target small, mid-sized, and large enterprise customers globally, delivering a broader range of cybersecurity solutions.
Kirkland & Ellis LLP is acting as legal counsel to Sophos, while financial advisors for the transaction include Goldman Sachs, Barclays, and BofA Securities. Secureworks is being advised by Piper Sandler and Morgan Stanley, with legal counsel provided by Paul, Weiss, Rifkind, Wharton & Garrison LLP.
“We believe this partnership will create better outcomes for businesses worldwide, helping them stay ahead of persistent adversaries,” Levy said.