Thales (Euronext Paris: HO) announces that it has reached an agreement with Thoma Bravo, a major software investment firm, for the acquisition of 100% of Imperva, a US-based data and application cybersecurity company, for an enterprise value of $3.6 billion1.
With this acquisition, Thales is taking its cybersecurity business “to the next level.” Imperva will enable growth in data security and Thales’ entry “into the attractive application security market.”
Thales total cybersecurity business will generate more than € 2.4 billion revenues2.
- The transaction price is based on a $3.6 billion enterprise value1.
- Significant value creation for Thales shareholders:
- $110 million of run rate cost and revenue synergies
- Financial profile of DIS segment enhanced
- Significant medium-term adjusted EPS accretion
- Transaction adjusted ROCE3 above WACC in Year 5 post-closing
Imperva’s integration into Thales will significantly “expand Thales’ addressable market in an already fast-growing sector.”
The new financial targets set for Thales’ Digital Identity and Security (DIS) activity are:
- 2024-2027 organic sales growth: +6 to +7%,
- 2027 EBIT3 margin to reach 16.5%.
The acquisition is in line with Thales’ disciplined capital deployment framework, “with no impact on the Group existing dividend policy or ongoing share buyback program.”
Closing of the transaction is expected “by the beginning of 2024, upon completion of customary anti-trust and regulatory approvals.”
Patrice Caine, Chairman and Chief Executive Officer, Thales, declared:
“The acquisition of Imperva marks a major milestone in Thales’ cybersecurity strategy. With this acquisition, we are seizing a unique opportunity to accelerate our cybersecurity capabilities and are taking an important step towards our ambition to build a world-class global cybersecurity integrated player, providing a comprehensive portfolio of products and services. We have tremendous respect for Imperva’s innovative application and data security offerings. Imperva and Thales share the same vision and the same DNA. We are thrilled to enter the next phase of our growth together. We look forward to welcoming Imperva to Thales to further enhance our cybersecurity solutions, and help customers address their most important digital security challenges.”
Pam Murphy, Chief Executive Officer, Imperva, declared:
“Today’s announcement represents an exciting new chapter for Imperva, one that will further our mission to help organizations protect data and all paths to it, bring better protection and strategic value to our customers and partners, and create more opportunities for our team members. We admire Thales’ vision and culture, and believe that, together, we can deliver greater product innovation and efficiency through disruptive solutions, while helping to simplify the greatest security challenges facing organizations today: protecting digital identities, applications, APIs, and data in any environment, and any industry.”
Seth Boro, Managing Partner at Thoma Bravo, said:
“Imperva is a leading force in cybersecurity with an impressive track record of providing cutting edge security solutions and protecting customers through all stages of their digital transformation, from the application level down to the data level. Over the course of our more than four years of partnership, Imperva further differentiated itself in the competitive cybersecurity market through accelerated growth and innovation and with its unique approach to end-to-end application and data security. During this time, the company successfully executed three acquisitions which strengthened its product offerings and capabilities to better protect clients’ critical data and applications. We are proud of what we built through our partnership with Pam Murphy and the Imperva team, and look forward to watching the company’s continued success as part of Thales’ innovative and diverse security portfolio.”
For more details, check here.