Cybersecurity Acquisitions: SPAC Targets Threat Intelligence and Breach Response Industries
ZeroFox, an external threat intelligence and protection provider, is merging with a special purpose acquisition company (SPAC) called L&F Acquisition Corp. (LNFA). The resulting business, to be called ZeroFox Holdings ($ZFOX) will be valued at roughly $1.4 billion, the deal participants said.
SPACs are empty, publicly held shell companies that are set up to acquire assets. More than 100 SPACs focus on acquisitions in the technology market, ChannelE2E notes.
ZeroFox Also Acquires IDX
As part of the LNFA merger agreement, ZeroFox will acquire digital privacy protection and data breach response services company IDX. The overall combined business will have over 650 employees and serve nearly 2,000 customers, ZeroFox noted. Also, over 90 percent of the company’s revenues are expected to come from recurring platform subscriptions.
The SPAC deal and IDX acquisition are M&A deals are numbers 792 and 793 that MSSP Alert and sister site ChannelE2E have covered so far in 2021.
ZeroFox’s LNFA merger and IDX acquisition are expected to close in the first half of 2022.
What Does the IDX Acquisition Mean for ZeroFox?
Together, ZeroFox and IDX will provide external threat protection capabilities and breach response services, the companies indicated.
The IDX acquisition comes after ZeroFox in July 2021 purchased dark web threat intelligence company Vigilante. Since the acquisition, ZeroFox has integrated breach intelligence and response, botnet exposure monitoring and other Vigilante security capabilities into its threat protection platform.
Organizations can use the ZeroFox Platform to protect their public attack surfaces against cyberattacks, the company indicated. The platform uses artificial intelligence and machine learning to help organizations identify and address cyber threats across their public attack surfaces.
ZeroFox offers a global partner program for MSSPs, OEMs, VARs and technology and integration partners. The program lets partners use the ZeroFox Platform to deliver threat intelligence to disrupt phishing, impersonations, malicious domains and data leakage across the public, deep and dark web, the company noted.