IT security company Sophos is to acquire the US cybersecurity firm Secureworks for $859 million (£769.5m), with Sophos hoping the deal will strengthen its product range for enterprise customers worldwide.

The company said that Sophos’ experience and reputation as a leading provider of managed security services and end-to-end security products, combined with Secureworks’ security operations expertise brought to the Taegis platform, is expected to result in further complementary advanced MDR (managed detection response) and XDR (extended detection response) solutions that will benefit their global customers.

Sophos expects to integrate solutions from both companies into a ‘broader and stronger security portfolio benefiting small, mid- and enterprise customers.’ This includes Sophos expanding its current portfolio with other new offerings like identity detection and response (ITDR), next-gen SIEM capabilities, operational technology (OT) security, and enhanced vulnerability risk prioritisation.

As two partner-centric organisations, the combination of Sophos and Secureworks will enable the combined company to expand its market presence to create greater value within the channel and strengthen the overall security community.

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“Secureworks offers an innovative, market-leading solution with their Taegis XDR platform. Combined with our security solutions and industry leadership in MDR, we will strengthen our collective position in the market and provide better outcomes for organisations of all sizes globally, said Joe Levy, CEO of Sophos.

“Secureworks’ renowned expertise in cybersecurity perfectly aligns with our mission to protect businesses from cybercrime by delivering powerful and intuitive products and services. This acquisition represents a significant step forward in our commitment to building a safer digital future for all.”

Transaction Details

Under the terms of the agreement, Sophos intends to acquire Secureworks in an all-cash transaction valued at $859 million. Secureworks shareholders, including Dell Technologies (NYSE:DELL), will receive $8.50 per share in cash. This represents a 28% premium to the unaffected 90-day volume-weighted average price (VWAP).

The transaction is expected to close in early 2025, subject to customary closing conditions.