Retail group Schwarz Group is purchasing Israel-based cybersecurity technology provider XM Cyber in a deal sized at $700m according to Globes, allowing stock exchange operator Nasdaq and IT services provider UST Global to exit.
Founded in 2016, XM has developed an automated software platform that helps organisations to head off cyberattacks and proactively stop them by finding attack paths and closing them off before they compromise IT infrastructure.
The company will continue to operate independently following the acquisition and will support Schwarz’s recently formed cloud software platform.
Nasdaq’s corporate venturing unit, Nasdaq Ventures, took part in XM’s $17m series B round in July 2020 alongside investment bank Macquarie Group’s Macquarie Capital subsidiary, private equity firm Swarth Group and venture capital firm Our Innovation Fund.
Nasdaq Ventures, Macquarie Capital and Our Innovation fund had all previously invested in the company’s $22m series A round in 2018.
Christian Müller, Schwarz Group’s chief information officer, said: “XM Cyber brings deep technical understanding and innovation that perfectly complements our portfolio for advanced cybersecurity services.
“Finding and closing security gaps from an attacker’s perspective is a disruptive approach to the way organisations can proactively protect their networks. XM Cyber’s solution builds on our strong IT security to further protect our customers, partners and ourselves as a company.”
