Israeli Cybersecurity Firm Upwind Rejects $4 Billion Acquisition Offer

Instead of the sale, Upwind is finalizing a $300 million funding round at a valuation of approximately $3.8 billion. This follows a previous funding round where the company raised $250 million at a $1.5 billion valuation, led by Bessemer Venture Partners. The company had also recently planned a larger funding round of about $400 million at the $3.8 billion valuation, led by TCV and Bessemer, with participation from investors including Salesforce Ventures, Alta Park, and Greylock.

This is not the first time Upwind and Datadog have held acquisition talks. Last year, negotiations for Datadog to acquire Upwind for approximately $1 billion did not materialize. Upwind, which recently acquired the local startup Aegis in a stock deal worth tens of millions of dollars, develops advanced real-time monitoring systems and AI agents designed to detect cyber threats.