Barracuda Networks has been acquired by KKR, an investment firm acquiring the company from former owner Thoma Bravo.
Founded in 2003, Barracuda is the developer of cybersecurity solutions, including email protection, app and cloud security, data management, and network security. Products include Secure Access Service Edge (SASE) offerings, threat detection and response, and data inspection.
The company serves approximately 200,000 customers worldwide and focuses on small and medium-sized businesses.
It appears that the cybersecurity firm has recently piqued the interest of KKR, an investment firm that markets itself as “alternative wealth management.” The funds managed by KKR include hedge funds, private equity, credit and real-world assets.
The acquisition was announced on April 12.
Private equity firm Thoma Bravo bought Barracuda in 2017 for $1.6 billion. At the time, the sale was intended to increase Barracuda’s growth and maximize shareholder value. Four years after it was listed on the NYSE, Barracuda (CUDA) then went private.
The financial terms of the deal have not been disclosed. However, the companies say that Barracuda has seen revenue growth of “more than $500 million” since its acquisition of Thoma Bravo.
Reuters reports that the acquisition is worth approximately $4 billion, including debt.
KKR says Barracuda’s growth remains a priority and the investment group will support expansion in areas such as detection and response and SASE.
“We continue to see cybersecurity as a very attractive industry and are excited to support a clear leader in the space,” said John Park, head of Americas Technology Private Equity at KKR. “Given its proven track record of growth and innovation, we believe Barracuda has the right team and model to do business in this growing market.”
The transaction is expected to close at the end of 2022, subject to customary closing conditions.
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