California based cybersecurity company Palo Alto Networks has made it to the front page for having declared its decision to purchase CloudGenix. Reportedly, the company has agreed to acquire the latter for a sum of USD 420 million.
Nikesh Arora, Chairman & CEO, Palo Alto Networks, has been claimed to state that this takeover is likely to contribute to the company’s SASE (secure access service edge) solutions. With organizations becoming more and more distributed, customers prefer highly efficient, workable agile solutions – both in terms of networking as well as security, Arora says. He further added that post the official closure of the transaction, the combined platform is liable to deliver customers a full set of SASE solutions that are the best-in-class, cloud-managed, easy to deploy, and can be delivered as a service.
For the uninitiated, CloudGenix, founded in the year 2013, was started by Venkataraman Anand, Kumar Ramachandran, and Mani Ramasamy. According to data presented by Pitchbook, CloudGenix has raised almost USD 100 million. The firm has around 250 customers spanning numerous verticals.
CloudGenix is known to provide an SD-WAN (software-defined wide area network) in order to help customers remain secure by setting policies and enforcing compliance using company protocols spanning distributed locations. This is of immense help to companies that have myriad branch offices or a rather distributed workforce. Indeed, this is extremely crucial in the current scenario where millions of employees are working from home.
Sources familiar with the knowledge of the matter claim that Palo Alto’s acquisition of CloudGenix, subject to customary regulatory conditions, will be closed in the fourth quarter this year.
Reports claim that lately, Palo Alto networks has been on a major takeover spree. Right since February 2019, CloudGenix is the company’s sixth acquisition. The total capital spent on these acquisitions amount to USD 1.6 billion so far.