Palo Alto Networks (NASDAQ: PANW) has agreed to accumulate id safety powerhouse CyberArk (NASDAQ: CYBR) in a deal valued at roughly $25 billion.
Palo Alto believes the transfer will speed up its platform technique and marks its formal entry into id safety.
“Our market entry technique has all the time been to enter classes at their inflection level, and we consider that second for Identification Safety is now,” Nikesh Arora, Chairman and CEO of Palo Alto Networks, stated.
Palo Alto believes the combination of CyberArk’s Identification Safety Platform with Palo Alto Networks’ present choices will ship important advantages by accelerating the platform technique by way of a unified answer that eliminates safety gaps and simplifies operations.
CyberArk’s capabilities will likely be built-in into Palo Alto Networks’ Strata and Cortex platforms, utilizing AI to offer identity-aware safety and real-time response throughout the enterprise. As autonomous Agentic AI turns into extra prevalent, Identification Safety will function a important framework, implementing just-in-time entry and least privilege to make sure that AI brokers function securely and solely with the required permissions, enabling protected, large-scale AI-driven automation.
“At the moment, the rise of AI and the explosion of machine identities have made it clear that the way forward for safety should be constructed on the imaginative and prescient that each id requires the correct stage of privilege controls, not the ‘IAM fallacy’,” Arora, added.
Beneath the phrases of the definitive settlement, CyberArk shareholders will obtain $45.00 in money and a pair of.2005 shares of Palo Alto Networks frequent inventory for every CyberArk share.
In a analysis word to traders, Jefferies analysts consider the transfer strengthens Palo Alto’s place in AI and augments its Zero Belief capabilities with a full stack of id options. The analysts additionally stated the acquisition “supplies a significant cross-sell alternative given the enterprise buyer base overlap.” The agency at the moment has a worth goal on Palo Alto Networks of $215 per share.Commercial. Scroll to proceed studying.
The transaction is predicted to shut through the second half of Palo Alto Networks’ fiscal 2026.
