Turn/River Management LP announced today that it will acquire Israeli security policy management company Tufin Software Technologies Ltd. for $570 million.
The all-cash deal means Tufin shareholders receive $13 per share, a premium of 44% over Tufin’s closing price on April 5 and a 54% premium over Tufin’s one-month volume-weighted closing price.
Founded in 2004, Tufin offers security policy automation for agile enterprises. The company says its platform secures network and cloud environments and deploys zero-trust architecture with powerful security policy automation technology.
Tufin claims to deliver end-to-end network security across hybrid enterprise infrastructure, powered by a single solution design for both network and cloud security teams. The service delivers visibility into security control across on-premises, hybrid and multicloud environments, deploying security policy without compromising business agility or developer productivity.
The company argues that its automated network security automation and cloud security overcome the burden of manual approaches to managing network changes and deploying security policies within a DevOps pipeline. Tufin says manual processes can introduce errors and potential security risks.
Tufin’s service maintains enterprise compliance with industry regulations and internal politics through continuous compliance and audit readiness. It does so from application connectively to firewall management across hybrid networks. Users can define policy, maintain compliance with that policy, control document adherence and embed the policy into workflows and pipelines.
Tufin has more than 2,000 customers. Notable clients include Bloomberg LP, MetLife Inc., UBS Group AG, the U.S. Postal Service, General Electric Co., Pfizer Inc., AT&T Inc., Verizon Communications Inc., Apple Inc., IBM Corp. and Twitter Inc.
“Since our inception nearly 20 years ago, we have made significant strides in developing our policy-based automation solution and have become a market leader,” Ruvi Kitov, chairman, co-founder and chief executive of Tufin, said in a statement. “This deal represents an important milestone for Tufin, and as a private company, we will have the opportunity to accelerate our growth through investments in our technology, people and go-to-market.”
The acquisition agreement, which the Tufin board has approved, includes a 30-day “go-shop” period expiring May 5. The allows the board and its advisors to solicit, initiate, encourage or facilitate alternative acquisition proposals from third parties. Presuming no better offer is forthcoming, the deal is expected to close in the second quarter.