This is Zscaler's third acquisition, following Canonic and Trustdome. The company, which was founded in 2007 and went public in 2018, has approximately 7,000 employees and a market cap of around $30 billion. The acquisition could potentially stimulate activity in the cybersecurity mergers and acquisitions market, which has seen a significant decline in deals involving VC-backed cybersecurity startups in recent years.
Key takeaways:
- Zscaler, a cloud security company, has acquired cybersecurity startup Avalor for $310 million in cash and equity.
- The acquisition will expand Zscaler’s platform with capabilities including streamlined reporting of security incidents, incident mitigation, asset discovery, data classification, security policy generation and more.
- Avalor, co-founded by Raanan Raz and Kfir Tishbi, acts as a source of truth for cybersecurity assets, controls, identities, vulnerabilities, bugs and other data points.
- This is Zscaler's third acquisition, following Canonic and Trustdome, and it could potentially stimulate activity in the slow-to-stagnant cyber M&A market.