US-based mobile security platform developer Zimperium, which counts corporates SoftBank, Telstra, Toyo Corporation and Samsung as backers, agreed yesterday to a $525m acquisition by private equity firm Liberty Strategic Capital.
Founded in 2010, Zimperium provides enterprise security software for mobile platforms like iOS, Android and Chromebook, detecting threats on devices and serving a range of industries including healthcare, financial services and defence.
Internet and telecommunications group SoftBank invested $15m in the company in 2017, the year after it secured $25m in a series C round featuring telecommunications company Telstra that was led by Warburg Pincus and which also featured Sierra Ventures and Lazarus Israel Opportunities Fund.
SoftBank will retain a minority stake in the company following the takeover, which is expected to close in the second quarter of this year. Telstra had previously led its $12m series B round, which was also backed by engineering firm Toyo and electronics manufacturer Samsung, in 2015.
Steven Mnuchin, chief executive of Liberty Strategic Capital and former US Treasury secretary, will chair Zimperium’s board going forward.
The deal marks Liberty Strategic’s first buyout deal and its fourth investment in cybersecurity. In the past year, it has led a $150m series E round for cybersecurity technology provider Contrast Security and the $275m first tranche of endpoint security software provider Cybereason’s series F round.
Zimperium chief executive Shridhar Mittal said: “There is no question that the world is going mobile. And as that happens, modern operating systems like Android and iOS are playing a more prominent role powering the devices people use in their personal and professional lives.
“But what many people do not realise is that protecting these devices is much different from protecting traditional endpoints and requires a new approach. We have helped leading public and private organisations across the globe strengthen mobile security.”
