Security Experts:

Thoma Bravo to Take SailPoint Private in $6.9B All-Cash Deal

Private equity firm Thoma Bravo's deep push into the cybersecurity market continued Monday with the announcement of plans to spend $6.9 billion to acquire identity and access management powerhouse SailPoint.

The all-cash acquisition of SailPoint adds another major security vendor to Thoma Bravo’s portfolio of security companies that currently include Proofpoint, Sophos, Barracuda Networks and Sonicwall.

Under the terms of the deal, SailPoint shareholders will receive $65.25 per share, valuing the deal at $6.9 billion. 

While the sizable $6.9 million deal represents a premium of 48% to SailPoint’s 90-day average stock price, there is a possibility that a buyout could come with an even higher price tag, thanks to a "go-shop" period that expires on May 16, 2022, which allows SailPoint’s board to actively look for additional bidders.

[ READ: Thoma Bravo Buys Proofpoint for $12.3 Billion ]

The Austin, Texas-based SailPoint, which sells identity and access management technologies to major global corporations, offers tools to help organizations implement zero-trust principles. The company has found success selling products to help reduce sensitive data leakage to unwanted users.

Once the deal closes, Thoma Bravo said SailPoint will become a privately held company providing identity security technology to enterprise customers globally.  

In August 2014, Thoma Bravo took a significant equity stake in SailPoint, but did not hold a significant stake in the company at the time of this agreement to take the cybersecurity firm private, a SailPoint spokesperson told SecurityWeek.

Sailpoint founder and CEO Mark McClain said the transaction delivers “significant immediate cash value to our stockholders” and will allow the company to pursue long-term growth with the backing of a strong financial partner.

“Thoma Bravo’s belief in our vision for identity security aligns strongly with our desire to accelerate and extend our leadership for years to come,” McClain said.

Related: Thoma Bravo Buys Proofpoint for $12.3 Billion

Related: Thoma Bravo Spends $3.9 Billion to Buy Sophos

Related: Barracuda Networks Acquired by Thoma Bravo

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Ryan Naraine is Editor-at-Large at SecurityWeek and host of the popular Security Conversations podcast series. Ryan is a veteran cybersecurity strategist who has built security engagement programs at major global brands, including Intel Corp., Bishop Fox and Kaspersky GReAT. He is a co-founder of Threatpost and the global SAS conference series. Ryan's past career as a security journalist included bylines at major technology publications including Ziff Davis eWEEK, CBS Interactive's ZDNet, PCMag and PC World. Ryan is a director of the Security Tinkerers non-profit, an advisor to early-stage entrepreneurs, and a regular speaker at security conferences around the world. Follow Ryan on Twitter @ryanaraine.