Private equity giant Thoma Bravo acquires SailPoint for $6.9 billion; its second multi-billion acquisition in less than a month

Just last month, we covered U.S. private equity giant Thoma Bravo after it paid $10.7 billion to acquire Anaplan, an SAP rival and enterprise software firm started in an English barn. In just three weeks, the firm has made its second acquisition.

Today, Thoma Bravo acquired cybersecurity company SailPoint in an all-cash deal worth about $6.9 billion. In an announcement on its website, SailPoint said it “has entered into a definitive agreement to be acquired by Thoma Bravo, a leading software investment firm, in an all-cash transaction that values SailPoint at approximately $6.9 billion.”

This purchase is the latest in a string of acquisitions for Thoma Bravo. In addition to the $10.7 billion purchase of Anaplan, the firm also acquired cybersecurity company Proofpoint for about $12.3 billion. According to the company’s website, Thoma Bravo has 24 security-focused firms in its portfolio, including SailPoint.

Founded in 2005 by Kevin Cunningham and Mark McClain, the Austin, Texas-based is a provider of identity and access management that helps organizations mitigate security risks, and manage user access from any device.

“Identity security is core to cyber security and businesses have realized that to fuel business growth and success, they must start with identity as the foundation for secure business transformation. We’ve experienced rapid growth and see a tremendous opportunity ahead of us to continue to set the pace in the identity security market as the category leader,” said Mark McClain, CEO and Founder, SailPoint.

“This transaction delivers significant immediate cash value to our stockholders and maximizes the value of their shares. The transaction will also allow us to pursue our long-term growth trajectory with greater flexibility and effectiveness to support our customers, expand our markets, and accelerate innovation in identity security with the backing of a strong financial partner with deep sector expertise. Thoma Bravo’s belief in our vision for identity security aligns strongly with our desire to accelerate and extend our leadership for years to come.”

“SailPoint is ideally positioned to capitalize on the large and growing demand from modern enterprises for robust identity security solutions that secure their business and reduce risk,” said Seth Boro, a Managing Partner at Thoma Bravo. “Their market-leading identity security platform provides the autonomous and intelligent approach that the market requires today, especially among larger enterprises and as hybrid working becomes more common. We look forward to partnering with Mark and his talented team to drive SailPoint’s next chapter of growth.”

The SailPoint transaction is expected to close in the second half of 2022. SailPoint’s board has approved the deal, but it is still subject to the approval of shareholders and regulatory review. Morgan Stanley is acting as a financial advisor.