Dell sells RSA Security to private equity firm for $2 billion
BREAKING Information — A lot less than 1 7 days absent from RSA Conference 2020, Dell has agreed to offer RSA Security for additional than $two billion.
On Tuesday, a consortium of investors led by Symphony Know-how Group (STG) agreed to purchase RSA in an all-cash transaction for $two.075 billion. The consortium contains Ontario Teachers’ Pension System Board and AlpInvest Associates. The deal contains the buy of solutions this kind of as RSA NetWitness System and RSA SecurID as well as RSA Conference, the world’s biggest infosec event.
RSA Security, an identification and access administration vendor, was acquired by the storage giant EMC in 2006 for just below $two.1 billion in cash. The acquisition was meant to assist clients take care of access to data. At the time, substantially of RSA’s good results was credited to its well-known portfolio of SecurID multifactor authentication and its BSafe line of encryption and privateness solutions. RSA joined Dell with the acquisition of EMC in 2015.
Now, RSA will change hands to STG, a non-public fairness firm headquartered in Palo Alto, Calif. STG’s portfolio contains various corporations in data analytics and ecommerce computer software, but prior to the acquisition of RSA, the firm’s existence in cybersecurity was constrained to cyber possibility vendor RedSeal.
“This is the ideal extensive-time period approach for Dell, RSA and our collective clients and companions,” Jeff Clarke, COO and vice chairman of Dell Technologies, explained in a push statement. “The transaction will even more simplify our organization and products portfolio. It also enables Dell Technologies to concentration on our approach to make automated and smart safety into infrastructure, platforms and units to hold data safe, safeguarded and resilient.”
The Wall Avenue Journal to start with reported the impending acquisition on Monday evening.
RSA President Rohit Ghai explained the acquisition is the ideal go for the firm’s long term.
“In analyzing the ideal way to assistance our customers’ digital journeys, we sought a associate that was enthusiastic about RSA’s mission dedicated to our shopper and associate foundation and interested in unleashing the energy of our expertise, working experience, and tremendous progress likely,” Ghai explained in a blog post. “Symphony Know-how Group (STG) fully supports our eyesight, and with a additional independent configuration, we anticipate to be in an even better situation to speed up innovation, guarantee shopper good results with our portfolio of on-prem and cloud answers, and extend options for our associate ecosystem.”
The transaction is expected to close in the subsequent 6 to nine months.
Reporting in progress –full tale to adhere to.
