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2/10/2014
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Sophos Acquires Cyberoam Technologies

Acquisition expands Sophos' product portfolio in network security

OXFORD, UNITED KINGDOM--(Marketwired - Feb 10, 2014) - Sophos announced today that it has acquired Cyberoam Technologies, a leading global provider of network security products. The acquisition expands and deepens Sophos' already significant product portfolio in network security, by combining Cyberoam's Unified Threat Management (UTM), next-generation firewall and network security expertise with Sophos' existing award-winning network security solutions in UTM and wireless security.

"Sophos and Cyberoam create a winning combination at the right time, in the right product markets and in all the right geographies," said Kris Hagerman, Chief Executive Officer for Sophos. "Cyberoam has built a strong reputation as an aggressive and nimble innovator in the network security market, and like Sophos, has a 'channel-first' approach and reputation for delivering top-notch service and support. The acquisition expands and accelerates our network security roadmap to grow our presence in UTM, advanced threat protection, wireless and next generation firewall -- some of the fastest growing markets in all of IT. This also continues our focus of providing exciting opportunities to grow our channel partners and customers."

For more information, visit the Sophos corporate blog at: http://blogs.sophos.com/2014/02/10/sophos-acquires-cyberoam-technologies/

Founded in 1999 and headquartered in Ahmedabad, India, Cyberoam is highly regarded for its product innovation, quality, and world-class customer support. The company has more than 65,000 customers, more than 550 employees, and a strong channel focus with a network of 5,500 partners, with particular strength in India, the Middle East, and Africa. Cyberoam's high performance UTM and Next Generation Firewall appliances, built on a similar Intel-based architecture as Sophos' UTM solutions, deliver advanced technologies that will complement and expand the entire Sophos network security portfolio. Some of these technologies include the iView reporting engine, application control, user-based network policies, sophisticated next-generation firewall capabilities and advanced threat protection.

Hemal Patel, CEO of Cyberoam, said, "Together Sophos and Cyberoam form a powerhouse in network security. We are growing our network security businesses substantially faster than the market, and joining forces allows us to drive even greater innovation and value. Our global footprint, commitment to the channel and complete security portfolio are clear competitive differentiators. We're pleased to join the Sophos team."

The acquisition advances Sophos' position in network security, a strategic growth area for the company and a pivotal element of the company's complete security strategy. Sophos combines leading security technologies in endpoint, mobile, encryption and data protection, e-mail, web, server, and network -- all focused on small and midmarket enterprises and pragmatic enterprises of any size -- and delivered entirely through the channel. Combined, Sophos and Cyberoam will have more than 2,200 employees, with more than 600 focused on network security, including more than 350 in R&D.

According to IDC Research, the network security market reached $7.9 billion in 2012; UTM comprised $2.7 billion of the market and was cited as the fastest growing segment at 21% growth. In the recent Gartner Magic Quadrant for Unified Threat Management, Sophos was again named a "leader" and Cyberoam a "visionary."

Signal Hill acted as exclusive financial advisor to Cyberoam in this transaction.

* - IDC Worldwide Network Security Forecast 2013-2017, July 2013

** - Gartner, Magic Quadrant for Unified Threat Management, July 19, 2013

About Sophos

More than 100 million users in 150 countries rely on Sophos' complete security solutions as the best protection against complex threats and data loss. Simple to deploy, manage, and use, Sophos' award-winning encryption, endpoint security, web, email, mobile and network security solutions are backed by SophosLabs -- a global network of threat intelligence centers.

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