Private equity firm Trinity Hunt Partners has acquired Dataprise, a Top 200 MSSP (managed security services provider) and well-known Sophos partner. ChannelE2E has complete details about the M&A deal here.
M&A activity involving MSSPs remains strong — as this growing list of MSSP mergers and acquisitions shows.
At least five factors are driving the M&A activity, MSSP Alert believes.
- Talent: The cyber skills shortage is driving MSSPs to find talent through M&A.
- Threats: The growing, shifting threat landscape is inspiring M&A deals to close technology and expertise gaps.
- Speed to Market: Acquiring companies can often be a faster path into a new or evolving technology market or business region.
- Scale: Smaller MSSPs are merging to counter the scale of larger rivals.
- Growth: The traditional MSP market will experience sub-10 percent compound annual growth rates (CAGR) in the years ahead. The MSSP market, in stark contrast, is growing at an 18 percent CAGR.
Clearly, some private equity firms also want a piece of the MSSP growth opportunity.