Thales Group, parent of Thales e-Security, a provider of data protection solutions to the financial services, high tech manufacturing, government and technology sectors, announced on Monday that it has signed a definitive agreement to acquire data protection firm Vormetric for $400 million.
Vormetric offers encryption, key management, access policy, and privileged user control to help customers protect sensitive information.
Vormetric’s data protection offerings will combine with Thales e-Security solutions, such as its hardware security modules (HSMs), which protect critical networks and data of 19 of the 20 largest banks in the world and many technology companies, the company said.
“The acquisition of Vormetric is a great opportunity to accelerate the growth of our cybersecurity activities,” Patrice Caine, Chairman and CEO of Thales, said in a statement.
“The opportunity to join Thales has come at a time when the world is focused on data to enable business due to the explosive growth of mobile, cloud and social media. Jointly we are in a unique position to offer leading security solutions to protect data, while broadening the support to our customers and partners globally,” added Alan Kessler, President and CEO of Vormetric.
San Jose, Calif.-based Vormetric has approximately 200 employees, more than 1,500 customers, and company revenues on pace to reach $75 million for the current fiscal year.
The transaction is subject to customary closing conditions and expected to close during the first quarter of 2016.
*Updated to reflect acquiring party as Thales Group, parent of Thales e-Security.