Data security company Cyera announced on Thursday that it has acquired data loss prevention (DLP) startup Trail Security for $162 million in cash and stock.
Trail Security is an Israeli company that has been operating in stealth mode since it was founded in 2023. The company has now revealed that it raised $35 million in funding from Lightspeed Ventures, CRV, and Cyberstarts.
Trail has developed what has been described as AI-enhanced DLP technology, which Cyera is integrating into its Data Security Posture Management (DSPM) platform, turning it into a unified data security platform.
In addition to Trail technology, Cyera will onboard 40 of the company’s employees to serve as the foundation of its DLP division.
Cyera’s last valuation exceeded $1.4 billion and the company anticipates further growth, expecting to reach over 1,000 employees in the next two years.
“Joining Cyera marks an exciting new chapter for Trail,” said Zohar Vittenberg, CEO and co-founder of Trail.
“We’ve always aimed to push the limits of data loss prevention with AI. In Cyera, we’ve found a partner that shares our vision. Together, by combining our DLP with their leading DSPM platform, we’re delivering a solution that both identifies and protects against data risks in real-time, setting a new standard for data security in an AI-driven world,” Vittenberg added.
Of the more than 300 M&A announcements seen by SecurityWeek to date in 2024, 28 deals involved data protection companies.
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