SAN FRANCISCO and BURLINGTON, Mass., Nov.
5, 2018 /PRNewswire/ -- Thoma Bravo, a leading private
equity investment firm, today announced that it has agreed to
acquire Veracode, the leading provider in next-generation
application security testing (AST), from Broadcom Inc. for
$950 million in cash. Currently, a
division of Broadcom Inc. Veracode's SaaS platform and integrated
solutions help security teams and software developers find and fix
security-related defects at all points in the software development
lifecycle. The transaction is expected to close in the fourth
quarter of 2018, subject to usual and customary closing conditions
and regulatory approvals.
This acquisition reinforces Veracode's long history of market
leadership and innovation, and the partnership with Thoma Bravo is
expected to support Veracode's future operational and product
development plans.
With broad language, framework, and testing technology coverage,
the Veracode Application Security Platform offers a holistic,
scalable way to manage security risk across an entire application
portfolio. Leveraging a wide range of security testing and threat
mitigation techniques, combined with best practices derived from
the most innovative application security programs in enterprises
globally, customers are given the keys to transforming how they
build and buy software by deeply integrating security into their
software development lifecycles and enabling DevSecOps processes.
Veracode's Application Security Platform has received consistent
industry recognition.
"Software security is one of the most consequential issues
facing companies as they look to compete in the digital economy. We
are proud that our SaaS security platform combines multiple
application security testing solutions, helping our customers
around the world secure the software powering their companies and
enabling them to focus on their core business objectives," said
Sam King, current Senior Vice
President and General Manager of Veracode, who will become the CEO
of Veracode following the close of the transaction. "Partnering
with Thoma Bravo, a proven security software investor, is expected
to extend our market reach and further fuel our innovation so that
we can offer the broadest software security platform and empower us
to accelerate growth — all to allow us to transform the way
companies achieve their software security goals."
"As long-term investors in cybersecurity software, we are
impressed with the speed and quality of innovation at Veracode,"
said Seth Boro, a managing partner
at Thoma Bravo. "Sam King and
her team are seasoned, proven operators addressing a critical
security problem in application development and delivering best in
class products to a rapidly growing customer base for over 10
years. We are excited to be partnering with the Veracode leadership
team to build upon this strong foundation and continue to drive
innovation for customers."
Securing this software is a critical part of growing the digital
economy. Veracode's pure SaaS platform is positioned to address
this market opportunity. Veracode serves more than 2,000 customers
across a wide range of industries, including nearly one-third of
the Fortune 100, and more than 20 of Forbes' 100 Most Valuable
Brands.
"In today's digital economy practically every company is turning
into a software company through their own digital
transformation. As these companies continue to build complex
applications, many of which contain sensitive data, the
applications themselves increasingly become the target of more
sophisticated and omnipresent cyber-attacks. As such,
applications need to be built with security in mind day one, and we
see a significant, growing market opportunity for Veracode's
product offerings," said Chip
Virnig, a partner at Thoma Bravo.
Thoma Bravo has extensive experience investing in the
cybersecurity software sector, and has completed more than 30 total
acquisitions of enterprise security companies to date, including
SailPoint (NASDAQ:SAIL), Barracuda Networks, LogRhythm, Bomgar,
BlueCoat Systems, SonicWall and Entrust. The firm also has years of
experience effectively executing software "carve-outs" and driving
growth and productivity in newly created platform companies,
including Digital Insight, McAfee, Kofax and Dynatrace.
Kirkland & Ellis is serving as Thoma Bravo's legal
advisor.
About Thoma Bravo, LLC
Thoma Bravo is a leading private equity firm focused on the
software and technology-enabled services sectors. With a series of
funds representing more than $30
billion in capital commitments, Thoma Bravo partners with a
company's management team to implement operating best practices,
invest in growth initiatives and make accretive acquisitions
intended to accelerate revenue and earnings, with the goal of
increasing the value of the business. Representative past and
present portfolio companies include industry leaders such as ABC
Financial, Blue Coat Systems, Deltek, Digital Insight, Frontline
Education, Global Healthcare Exchange, Hyland Software, Imprivata,
iPipeline, PowerPlan, Qlik, Riverbed, SailPoint, SolarWinds,
SonicWall, Sparta Systems and TravelClick. The firm has offices in
San Francisco and Chicago. For more information, visit
thomabravo.com.
About Veracode
Veracode is a leader in helping organizations secure the
software that powers their world. CA Veracode's SaaS platform and
integrated solutions help security teams and software developers
find and fix security-related defects at all points in the software
development lifecycle, before they can be exploited by hackers. Our
complete set of offerings help customers reduce the risk of data
breaches, increase the speed of secure software delivery, meet
compliance requirements, and cost effectively secure their software
assets- whether that's software they make, buy or sell.
Veracode serves more than 2,000 customers across a wide range of
industries, including nearly one-third of the Fortune 100 and more
than 20 of Forbes' 100 Most Valuable Brands.
MEDIA CONTACTS
For Thoma Bravo:
Matthew Gorton, Hiltzik
Strategies
212-776-1161
mgorton@hstrategies.com
For Veracode:
Jessica Lavery, Veracode
339-674-2536
jlavery@veracode.com
Related Links
https://www.thomabravo.com/
https://www.veracode.com/
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SOURCE Thoma Bravo