US-based cybersecurity firm Palo Alto Networks said Tuesday it has acquired Israeli startup Bridgecrew for $156 million in cash, confirming an earlier report in the Calcalist financial website.
Tel Aviv-based Bridgecrew was set up in 2019 by Guy Eisenkot, son of former IDF chief of staff Gadi Eisenkot, Idan Tendler and Barak Schoster, and has raised some $18 million to date from investors, according to the database of Start-Up Nation Central, which tracks Israel’s tech industry. The founders and their teams will join the US firm, the statement said, adding that the deal is expected to close during Palo Alto Network’s fiscal third quarter.
Bridgecrew, which has dozens of employees in Israel and the US, develops code to allow firms to protect their cloud infrastructure in an automated manner. The platform enables companies to secure their data and identify infrastructure errors wherever they are – in their cloud accounts, their workloads, or their infrastructure as a code misstep, according to Bridecrew’s website.
With the addition of Bridgecrew, Palo Alto Networks will be the first to deliver security across the full application lifecycle, the statement said. Once integrated, customers will benefit from a single platform that will deliver cloud security from build time to runtime, seamlessly connecting security and DevOps teams.
“Developers don’t want to wait until runtime to find out their security is not working, and the chief information security officer (CISO) charged with protecting the entire organization certainly values higher security from fixing issues earlier in the development lifecycle. We are thrilled to welcome Bridgecrew, and their widely adopted and trusted developer security platform, to Palo Alto Networks,” said Nikesh Arora, chairman and CEO of Palo Alto Networks in the statement.
“By joining Palo Alto Networks, we will be able to bring codified cloud security to the developer community on a wider scale,” said Idan Tendler, co-founder and CEO of Bridgecrew, in the statement.
Palo Alto, founded by Israeli Nir Zuk in 2005, had revenue of $3.4 billion in 2020 and has a market valuation on the New York Stock Exchange, where its shares are traded, of over $38 billion.
The US-based firm has made a number of acquisitions in Israel, including Cyvera for $200 million in 2014; LightCyber for $130 million in 2017; CyberCubes and Secdo in 2018; and Twistlock for $410 million, PureSec, and Demisto for $560 million in 2019, according to data compiled by Start-Up Nation Central.