Busy day for Palo Alto Networks as it buys two security startups: Twistlock and PureSec
Palo Alto Networks Inc. was busy on the acquisition front today, acquiring Portland, Oregon-based cybersecurity startup Twistlock Ltd. and Israeli serverless security platform provider PureSec Ltd.
The Twistlock deal came in at about $410 million in cash, whereas the terms of the PureSec acquisition were not disclosed. PureSec had raised $10 million in venture capital funding from Entrée Capital, Square Peg Capital and TLV Partners.
Twistlock, which raised $63.1 million in venture capital before the deal, including rounds of $17 million in April 2017 and $33 million in August, calls itself “the container security leader.” Investors include Dell Technologies Capital, Rally Ventures, ICONIQ Capital, YL Ventures, Polaris Partners and TenEleven Ventures.
The company combines vulnerability management, compliance and runtime defense for cloud-native applications and workloads. Twistlock’s customer base runs to only about 290 customers but they’re big, including a quarter of the Fortune 100.
PureSec offers a platform that enables its customers to build and maintain secure and reliable serverless applications in a trusted and safe computing environment. The platform supports serverless offerings such as Amazon Web Services Inc.’s Lambda, Google Cloud’s Functions, Microsoft Corp.’s Azure Functions and IBM Corp.’s Cloud Functions.
The two acquisitions come the same day Palo Alto Networks launched Prisma, its new cloud security service. Both Twistlock and PureSec are described by the company as further advancing its ability to offer the most complete and comprehensive cloud security suite in all critical areas of cloud security as part of the Prisma offering.
“Today marks another exciting step forward in our commitment to offering our customers the industry’s most complete cloud security offering,” Nikesh Arora (pictured), Palo Alto Network’s chairman and chief executive officer, said in a statement. “We believe that our acquisition of these leading companies will significantly enhance our ability to be the cybersecurity partner of choice for our customers while expanding our capabilities and strengthening our Prisma cloud security strategy.”
Kamal Shah, chief executive of StackRox Inc., told SiliconANGLE that the Twistlock acquisition is “a major validation of the strategic importance of the container security market and reflects the growing importance of the broader cloud security market.”
“Other, recent acquisitions have proven that companies that focus on the long-term and have the right architecture often win and I wouldn’t be surprised to see other security vendors acquire a container security vendor over the next 12 months,” Shah added. “Enterprises today are looking for ways to enforce security and compliance policies as they embrace the business benefits of cloud-native application architectures across multicloud and hybrid cloud environments.”
John Morello, chief technology officer of Twistlock, spoke about the company’s approach at KubeCon + CloudNativeCon in Seattle in December on theCUBE, SiliconANGLE Media livestreaming studio:
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