Darktrace on Thursday announced the “proposed acquisition” of UK-based incident investigation and response firm Cado Security.
Financial terms have not been disclosed for the deal that is expected to be completed in February, but the Australian Financial Review (AFR) reported (paywalled link) that Darktrace will pay an estimated $50 million to $100 million, subject to regulatory approvals.
Contacted by SecurityWeek, Darktrace said the amount reported by AFR is not a number it recognizes, and noted that it’s not disclosing the price of the acquisition.
Cado Security has developed a cyber investigation and response solution for multi-cloud, container, serverless, SaaS, and on-premises environments. The solution captures a screenshot of the data stored on a device and then conducts a forensic investigation in search of compromise or threats.
The British cybersecurity giant plans on continuing to enhance Cado’s existing products, while also combining the company’s investigation technology with its own ActiveAI platform. Cado’s founders, James Campbell (CEO) and Chris Doman (CTO), as well as the Cado team, will join Darktrace.
Cado Security has raised over $31 million across three funding rounds since 2020, including $10 million in Series A funding in 2021, and $20 million in Series B funding in 2023.
Darktrace was taken private in 2024 following its acquisition by private equity giant Thoma Bravo for $5.32 billion in cash. The company’s co-founder, Mike Lynch, died in August 2024 after his superyacht sank off the coast of Sicily.
SecurityWeek tracked roughly 400 cybersecurity-related merger and acquisition (M&A) deals in 2024.
*updated with comment from Darktrace
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