Enterprise software company ServiceNow agreed to acquire Armis, a nine-year-old cybersecurity startup, for $7.75 billion in cash.
This deal is a huge jump in the valuation of the company. Just last month, Armis raised a $435 million pre-IPO funding round, valuing the company $6.1 billion,
Armis co-founder and CEO Yevgeny Dibrov told TechCrunch last month that the company aims to go public in late 2026 or 2027, adding that an IPO is his “personal dream.”
Given the unpredictability of IPO markets and the number of cybersecurity companies actually go publicIt is no surprise that Armis ultimately opted out of the M&A.
According to ServiceNow, Armis has reached $340 million in annual recurring revenue (ARR), with year-over-year growth of more than 50%.
Armis, which provides security software for critical infrastructure to Fortune 500 companies and governments, will help ServiceNow expand its cybersecurity offerings.
The deal caps a busy acquisition year for ServiceNow, which bought Moveworks for $2.85 billion and agreed to acquire cybersecurity startup Vezza for $1 billion.
According to PitchBook, Armis has raised a total of $1.45 billion in venture capital from investors including Sequoia, CapitalG and Insight Partners.
