Palo Alto Networks to Acquire Incident Response Firm The Crypsis Group for $265 Million

Palo Alto Networks (NYSE: PANW) announced on Monday that it has agreed to acquire incident response and digital forensics consulting firm The Crypsis Group.

Under the terms of the agreement, Palo Alto Networks will pay $265 million in cash, subject to adjustment, to acquire Crypsis.

“The addition of The Crypsis Group’s security consulting and forensics capabilities will strengthen Cortex XDR’s ability to collect rich security telemetry, manage breaches and initiate rapid response actions,” Palo Alto Networks said in an announcement. “The Crypsis Group’s experts and insights will also fuel the Cortex XDR platform with a continuous feedback loop between incident response engagements and product research teams to prevent future cyberattacks.” 

Founded in 2015, Crypsis has offices in Washington D.C., New York, Chicago, Austin, and Los Angeles, and has more than 150 security consultants on staff.

The acquisition is expected to close during Palo Alto Networks’ fiscal first quarter.

Palo Alto also reported its fiscal Q4 and fiscal year 2020 financial results on Monday, with quarter revenue growth up 18% year over year to $950.4 million, and fiscal year 2020 revenue growth up 18% year over year to $3.4 billion.