Cyber company cofounded by ex-Mossad chief sells for US$700 million
XM Cyber, an Israeli cybersecurity company that was co-founded by former Mossad chief Tamir Pardo, was acquired by Schwarz Group, the European retailer announced on Monday.
Former Mossad director Tamir Pardo at the Meir Dagan Conference for Strategy and Defense in Netanya College on March 18, 2019. Photo by Flash90
The company was founded in 2016 by Pardo, Noam Erez and Boaz Gorodissky, all long-time members of Israel’s intelligence community. Israeli-Italian businessman Shaul Shani was the first investor in the company.
Since its inception just five years ago, the company has raised $48 million in investment funding.
XM Cyber’s platform simulates organized cyberattacks to help companies learn how best to respond to them. The platform detects exploitable vulnerabilities and credentials, misconfigurations, and user activities that could potentially put organizations at risk.
The deal helps the Schwarz Group, the world’s fourth-largest retailer and a growing force in cloud computing, to prepare for future challenges relating to IT security while offering new growth opportunities for XM Cyber.
“XM Cyber brings an innovative approach to proactively prevent cyberattacks using the attacker’s perspective,” the Schwarz Group said in a statement. “By discovering critical attack paths across on-premises and multi-cloud networks, it helps organizations cost-effectively close security gaps before systems are compromised. The comprehensive knowledge in securing complex hybrid cloud networks is also an essential aspect of this strategic acquisition for the Schwarz Group.”
XM Cyber will continue to operate independently out of its headquarters in Herzliya, offering its full suite of products under its current brand and support structure, and will remain committed to supporting its global customer base, the announcement said.
The Israeli company said that the strategic partnership offers immense potential to further expand and develop its business model.
“With the backing and international footprint of the largest European retailer, we can accelerate innovation and growth and further strengthen our position in the global cybersecurity market. I would like to take this opportunity to thank our investors who have supported us along the journey in building this unique company,” said Noam Erez, XM Cyber co-founder and CEO.
This report first appeared in Israel Hayom.
Reporter: Hili Yacobi-Handelsman
