Darktrace agrees to sale to Thoma Bravo for $5.315 million

British cybersecurity firm Darktrace has made headlines with its recent sale to U.S. private equity giant Thoma Bravo for a whopping $5.315 million in an all-cash offer. This move has caused Darktrace shares to surge by 17% in London trading, with investors set to receive $7.75 in cash for each share held.

The decision to go private comes as a surprise to many, as Darktrace had only listed on the London Stock Exchange in 2021. The company’s reasoning behind the sale stems from its belief that it is undervalued in the U.K. market. Darktrace feels that its operational and financial achievements are not accurately reflected in its valuation, leading to shares trading at a significant discount compared to its global peers.

Founded in 2013 and based in Cambridge, Darktrace specializes in artificial intelligence-based protection against cyber attacks for large companies and events. With roughly 2,300 employees worldwide, the company has attracted attention for its innovative approach to cybersecurity.

Thoma Bravo’s acquisition of Darktrace is seen as a strategic move to increase its exposure to the cybersecurity market and scale the business globally. The deal represents a 44.3% premium to the average volume-weighted Darktrace share price in the three months leading up to the sale.

Despite its recent success, Darktrace has faced challenges, including a short-selling attack in 2023 and scrutiny over co-founding investor Mike Lynch’s fraud charges in the U.S. The company has worked to distance itself from these issues and focus on its growth and innovation in the cybersecurity sector.

Overall, Darktrace’s sale to Thoma Bravo marks a significant milestone for the company and the cybersecurity industry as a whole. Investors and industry experts will be watching closely to see how this acquisition shapes the future of Darktrace and its impact on the market.