Israeli Cyber Firm Varonis Systems Acquired for $6.3 Billion

By מערכת ice

Translated & summarized from Ice by baba

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Hebrew · 5 newsrooms covering

Israeli cybersecurity firm Varonis Systems is being acquired by Proofpoint for approximately $6.3 billion in a deal expected to close in the first half of 2027. Founded by Israelis Yaki Fitelzon and Ohad Corcus, Varonis specializes in protecting unstructured data and has a significant development center in Herzliya. The acquisition highlights the growing demand for cybersecurity solutions amidst increasing online threats and AI-driven data theft. Proofpoint, itself acquired by Thoma Bravo for over $12 billion in 2021, is a leading cybersecurity company.

The story in 6 lines · by baba

Varonis Systems, an Israeli cybersecurity company, is being acquired by Proofpoint for approximately $6.3 billion.
The deal is expected to be completed in the first half of 2027, with Proofpoint paying $49.75 per share.
Varonis was co-founded in 2005 by Israelis Yaki Fitelzon and Ohad Corcus and has a development center in Herzliya.
The acquisition reflects increased corporate spending on cybersecurity due to rising online crime and AI-driven threats.
Proofpoint, the buyer, was previously acquired by Thoma Bravo for about $12.3 billion in 2021.
Varonis reported revenues of approximately $660 million for the four quarters ending March 2026.

Israeli Cyber Firm Varonis Systems Acquired for $6.3 Billion — Editorial illustration generated by baba News, not a photograph of the event.

Israeli cybersecurity firm Varonis Systems is set to be acquired by Proofpoint in a cash deal valued at approximately $6.3 billion. Proofpoint, owned by the investment firm Thoma Bravo, will pay Varonis shareholders $49.75 per share, with the transaction expected to close in the first half of 2027. This deal values Varonis's equity at $5.71 billion.

Varonis was founded in 2005 by Israelis Yaki Fitelzon and Ohad Corcus, both former employees of NetVision and NetApp. Fitelzon has served as CEO since the company's inception. While its headquarters are now in Miami, Varonis maintains a development center in Herzliya, Israel. The company specializes in protecting unstructured data within organizations, such as files and documents, by tracking data access, classifying sensitive information, identifying cloud exposures, and detecting insider threats across environments like Amazon, Azure, Google Cloud, and Salesforce.

The acquisition comes amid increasing corporate spending on cybersecurity, driven by the rise in online crime and the growing use of artificial intelligence for data theft. Varonis itself expanded into this area this year with the launch of Varonis Atlas, a product for monitoring and controlling AI tools within organizations.

Varonis went public on the Nasdaq in February 2014 and shifted its business model in 2019 from perpetual licenses to a subscription-based model, with cloud operations becoming a significant revenue source. The company currently serves medium and large enterprises in 95 countries across sectors including finance, healthcare, and technology, employing approximately 2,700 people. Its revenues for the four quarters ending between June 2025 and March 2026 were around $660 million.

Proofpoint, the acquiring company, is a major player in cybersecurity, focusing on email security, data protection, and user protection for organizations. Founded in 2002 by Eric Hahn, formerly the CTO of Netscape, Proofpoint was a pioneer in cloud-based email security. Headquartered in Sunnyvale, California, Proofpoint was acquired by Thoma Bravo in August 2021 for approximately $12.3 billion in cash, a deal that was at the time the largest private equity software transaction. Since then, Proofpoint has continued to grow, with annual recurring revenue exceeding $2 billion by mid-2024 and reaching $2.45 billion by the end of 2025.

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