Sophos agrees to acquire Secureworks in $859m cybersecurity deal

British cybersecurity firm Sophos has announced plans to acquire Secureworks in an all-cash transaction valued at $859 million, as it seeks to strengthen its position in the global cybersecurity market.

Under the terms of the agreement, Secureworks shareholders, including Dell Technologies, will receive $8.50 per share in cash, representing a 28 per cent premium to the unaffected 90-day volume-weighted average price.

The acquisition will combine Sophos’ managed security services and end-to-end security products with Secureworks’ Taegis platform, creating a broader portfolio of cybersecurity solutions for organisations of all sizes.

Joe Levy, chief executive officer of Sophos, said: “Secureworks offers an innovative, market-leading solution with their Taegis XDR platform. Combined with our security solutions and industry leadership in MDR, we will strengthen our collective position in the market and provide better outcomes for organisations of all sizes globally.”

The deal is expected to enable Sophos to expand its current portfolio with new offerings including identity detection and response, next-generation SIEM capabilities, and operational technology security.

Wendy Thomas, chief executive officer of Secureworks, commented: “Our mission at Secureworks has always been to secure human progress. Sophos’ portfolio of leading endpoint, cloud, and network security solutions – in combination with our XDR-powered managed detection and response – is exactly what organisations are looking for to strengthen their security posture.”

The acquisition comes at a time of escalating cyber risks driven by increased cybercriminal activity and global geopolitical pressures. Both companies bring significant threat intelligence capabilities and security operations expertise to the combined entity.

Sophos is backed by Thoma Bravo, a leading software investment firm. The transaction is expected to close in early 2025, subject to customary closing conditions and regulatory approvals.

The deal represents a significant consolidation in the cybersecurity industry, bringing together two established players with complementary capabilities in threat detection, response and management.