Corporates Symantec, Telus and Tivo are set to exit US-based cloud security software provider Veracode through a $614m cash acquisition by enterprise software producer CA Technologies that was agreed on Monday.
Founded in 2006 and spun out of cybersecurity firm Symantec, Veracode has built an automated cloud security platform for web and mobile applications.
The company will be added to CA’s DevOps (software development and operations) offering, giving it secure application security testing capabilities.
The acquisition will follow approximately $110m of funding, $40m of which came in a 2014 series F round led by Wellington Management Company that included undisclosed existing investors, and which valued Veracode at $500m post-money.
Telecommunications company Telus and consumer electronics specialist Tivo, then known as Macrovision and later as Rovi, had invested as part of a $5m round in 2009 that included Symantec, .406 Ventures and Polaris Venture Partners.
Other Veracode investors included Atlas Venture, In-Q-Tel, StarVest Partners, Cross Creek Advisors and Meritech Capital Partners. The company was reported to have filed for an initial public offering in early 2015 but never filed publicly.
Veraode CEO Bob Brennan said: “We provide over 1,400 small and large enterprise customers the security they need to confidently innovate with the web and mobile applications they build, buy and assemble, as well as the components they integrate into their environments.
“By joining forces with CA Technologies, we will continue to better address growing security concerns, and enable them to accelerate delivery of secure software applications that can create new business value.”