Investment firm KKR buys Barracuda Networks

Plans to take a bigger bite of the SME security market by swimming towards SASE


Investment firm KKR has acquired Barracuda Networks from private equity firm Thoma Bravo.

Barracuda makes security products that cover email protection, application security, network security and data. The company's preferred prey is small to medium businesses, and it has more than 200,000 of them on the hook.

Barracuda changed hands in 2017 when Thoma Bravo took it private in a $1.6 billion deal. At the time, Barracuda's annual revenue was around $400 million.

KKR's announcement of the acquisition doesn't reveal how much it's paying, but does state that Barracuda's revenue has grown to "over $500 million" a year under Thoma Bravo's tender care. Newswire Reuters reports $4 billion will change hands.

The investment firm stated it will fund expansion into managed detection and response, extended detection and response, and secure access service edge (SASE) technology.

Analyst firm Gartner recently predicted security spend will grow by ten percent each year until 2025, so Barracuda certainly has room to grow.

All parties to the transaction have declared themselves pleased with the new state of affairs.

Thoma Bravo execs patted themselves on the back for helping Barracuda to grow. KKR's managing director Bradley Brown said the firm sees "a tremendous opportunity for long-term growth" and looks forward to "helping Barracuda scale and deliver next generation products that meet this growing need."

And Barracuda CEO Hatem Naguib thanked Thoma Bravo for all its help, before adding: "With the support of KKR, we will continue to invest in growth and foster a culture that gives our team the resources and inspiration to continue to create and deliver the next generation of leading cybersecurity solutions for our customers and partners." ®

Broader topics


Other stories you might like

  • CISA and friends raise alarm on critical flaws in industrial equipment, infrastructure
    Nearly 60 holes found affecting 'more than 30,000' machines worldwide

    Updated Fifty-six vulnerabilities – some deemed critical – have been found in industrial operational technology (OT) systems from ten global manufacturers including Honeywell, Ericsson, Motorola, and Siemens, putting more than 30,000 devices worldwide at risk, according to private security researchers. 

    Some of these vulnerabilities received CVSS severity scores as high as 9.8 out of 10. That is particularly bad, considering these devices are used in critical infrastructure across the oil and gas, chemical, nuclear, power generation and distribution, manufacturing, water treatment and distribution, mining and building and automation industries. 

    The most serious security flaws include remote code execution (RCE) and firmware vulnerabilities. If exploited, these holes could potentially allow miscreants to shut down electrical and water systems, disrupt the food supply, change the ratio of ingredients to result in toxic mixtures, and … OK, you get the idea.

    Continue reading
  • Inside the RSAC expo: Buzzword bingo and the bear in the room
    We mingle with the vendors so you don't have to

    RSA Conference Your humble vulture never liked conference expos – even before finding myself on the show floor during a global pandemic. Expo halls are a necessary evil that are predominatly visited to find gifts to bring home to the kids. 

    Do organizations really choose security vendors based on a booth? The whole expo hall idea seems like an outdated business model – for the vendors, anyway. Although the same argument could be made for conferences in general.

    For the most part, all of the executives and security researchers set up shop offsite – either in swanky hotels and shared office space (for the big-wigs) or at charming outdoor chess tables in Yerba Buena Gardens. Many of them said they avoided the expo altogether.

    Continue reading
  • 1Password's Insights tool to help admins monitor users' security practices
    Find the clown who chose 'password' as a password and make things right

    1Password, the Toronto-based maker of the identically named password manager, is adding a security analysis and advice tool called Insights from 1Password to its business-oriented product.

    Available to 1Password Business customers, Insights takes the form of a menu addition to the right-hand column of the application window. Clicking on the "Insights" option presents a dashboard for checking on data breaches, password health, and team usage of 1Password throughout an organization.

    "We designed Insights from 1Password to give IT and security admins broader visibility into potential security risks so businesses improve their understanding of the threats posed by employee behavior, and have clear steps to mitigate those issues," said Jeff Shiner, CEO of 1Password, in a statement.

    Continue reading

Biting the hand that feeds IT © 1998–2022