Security firms Accuvant and FishNet Security announced on Wednesday that the two firms would join forces to create a new, yet to be named company.
Along with determining the combined company’s name, the location of the corporate headquarters is expected to be determined during the integration process.
Founded in 2002, Accuvant was acquired by private equity firm Blackstone in March 2014. Investcorp acquired a majority stake in FishNet Security in January 2013.
“This move brings together the complementary strengths of the two organizations, creating a new provider with a broader suite of services, smarter solutions, more expertise and expanded reach to innovate and meet customers’ complex and rapidly expanding global information security needs,” a joint announcement stated.
Financial terms of the transaction were not disclosed, but Blackstone will maintain majority ownership in the combined company, while current investors are maintaining minority equity interests.
“Together, FishNet Security and Accuvant will be better positioned to provide holistic, high-value, and integrated security solutions that cover all aspects of cyber defense,” said Rich Fennessy, FishNet Security chief executive officer. “We believe that we will be able to accelerate innovation and help customers to more adequately address information security concerns.”
The new, combined company will have 60 offices, training and security operations locations across the United States and Canada and have more than 1,400 total employees focused on serving customers; more than 650 consultants and engineers, delivering information security risk and compliance consulting services, as well as managed security services and product services.
Additionally, the company said that extended geographic footprints in the U.S. would help it provide enhanced services and support to its North American customers.
The combined company will be lead by Accuvant chief executive officer Dan Burns who will become chief executive officer. FishNet Security CEO Rich Fennessy will stay onboard as an advisor to assist in the integration effort, the companies said.
In early August, Overland Park, Kansas-based FishNet Security announced the opening of a new technology testing lab that allows the company and its partners and customers to vet technologies in a virtual IT environment using simulated network conditions and attack scenarios.
The companies mentioned nothing about a possible IPO following the acquisition, but given the fact that the firm is now owned by an institutional investor, it’s likely that the backers will push for this to happen after the merger is complete and running efficiently.
The transaction is expected to close in the first quarter of 2015 pending relevant regulatory approvals.
