This is M&A deal number 508 that MSSP Alert and ChannelE2E have covered thus far in 2021.
In this case, Armadillo's pentesting capabilities have been integrated into Chess' security portfolio, which represents over 20 percent of the company's sales.
In addition, Armadillo strengthens Chess' ability to deliver end-to-end security to its customers, Chess CEO David Pollock said.
Armadillo and Chess Cybersecurity Capabilities
Armadillo offers several security pentesting services, including:
- Application: Identifies vulnerabilities in mobile apps and websites.
- Infrastructure: Detects vulnerabilities across computer systems, network devices and IP address ranges.
- Network: Scans for external and internal network vulnerabilities.
Along with its pentesting services, Armadillo provides simulated attack, compliance and other security testing services. Armadillo also offers an IT health check that organizations can use to assess an organization's compliance with security policies, the security awareness of its staff and its ability to respond to cyberattacks.
Armadillo bolsters Chess' cybersecurity team, which serves over 1,000 of businesses and government agencies in the UK. Meanwhile, Armadillo could help Chess capitalize on rising demand for pentesting services.
Global pentesting services market revenues could total approximately $1.6 billion in 2021, according to industry analyst MarketsandMarkets. Also, these revenues are projected to increase at a compound annual growth rate of 13.8 percent between 2021 and 2026 and could reach $3 billion by 2026.
Pentesting Mergers and Acquisitions
M&A activity in the penetration testing market has been strong. Key deals have involved:
- August 2021: GoVanguard purchased Gotham Security.
- April 2021: Coalfire disclosed the Neuralys Corp. acquisition.
- See all penetration testing mergers and acquisitions listed here.