Sophos Acquires Secureworks in $859 Million Deal to Enhance Cybersecurity Solutions

Sophos, a leading provider of innovative security solutions, has announced a definitive agreement to acquire Secureworks in an all-cash transaction valued at approximately $859 million. Backed by Thoma Bravo, a prominent software investment firm, Sophos aims to leverage Secureworks’ expertise in security operations and its Taegis platform to strengthen its portfolio of managed detection and response (MDR) and extended detection and response (XDR) solutions.

The acquisition will enable Sophos to deliver advanced cybersecurity solutions that enhance resilience for organizations of all sizes. By combining Sophos' end-to-end security products with Secureworks’ renowned threat intelligence, the integrated offerings will provide customers with a robust security framework powered by AI and decades of cybersecurity expertise.

“Secureworks offers an innovative, market-leading solution with their Taegis XDR platform. Together, we will strengthen our market position and deliver better outcomes for organizations globally,” said Joe Levy, CEO of Sophos. He emphasized that the acquisition aligns with their mission to protect businesses from cybercrime through powerful and intuitive products.

The deal comes at a time when cyber risks are escalating, driven by a growing cybercriminal ecosystem and geopolitical pressures. The combined capabilities of Sophos and Secureworks are expected to significantly enhance threat detection and incident response for their global customer bases.

Secureworks CEO Wendy Thomas echoed this sentiment, stating, “Our mission has always been to secure human progress. The combination of Sophos’ security solutions with our XDR-powered managed detection and response will meet the evolving security needs of organizations.”

Under the terms of the agreement, Secureworks shareholders, including Dell Technologies, will receive $8.50 per share, reflecting a 28% premium to the unaffected 90-day volume-weighted average price. The transaction is anticipated to close in early 2025, subject to customary conditions.

Kirkland & Ellis LLP serves as legal counsel for Sophos, while financial advisory roles are filled by Goldman Sachs & Co. LLC., Barclays, BofA Securities, HSBC Securities (USA) Inc., and UBS Investment Bank. Piper Sandler & Company and Morgan Stanley & Co. LLC are advising Secureworks, with Paul, Weiss, Rifkind, Wharton & Garrison LLP providing legal counsel.