Software firm Microsoft closed the acquisition of US-based cybersecurity software producer Adallom yesterday, enabling computer manufacturer Hewlett-Packard (HP) to exit, for a price reported by TechCrunch to be $250m.
The price, told to TechCrunch by sources familiar with the matter, is below the $320m originally touted in July this year, when news of the impending deal broke.
Adallom provides cloud-based cybersecurity software as well as an on-site service that is compatible with cloud software applications including Microsoft’s own Office 365. Its product will complement Microsoft’s existing range of cybersecurity products.
The company had raised $49.5m in venture funding since it was founded in 2012, including $30m in a series C round backed by Hewlett Packard Ventures, HP’s investment arm, as well as Rembrandt Venture Partners, Sequoia Capital and Index Ventures in April 2015.
Sequoia Capital and Zohar Zisapel provided $4.5m for the company in 2012 before Sequoia and Index invested a further $15m in January 2014.