HUB Security, an Israeli cybersecurity company, has bought out fellow Israeli cybersecurity firm Comsec Global for NIS 70 million ($22 million). According to the deal, HUB will pay NIS 40 million in cash and NIS 30 million in its own shares. The Shares consideration are under a share sale lock-up provision for a period of 6 months post closing of the transaction.
HUB Security was established in 2017 by veterans of the IDF’s 8200 and 81 intelligence units. The company specializes in protecting sensitive commercial information and has an advanced encrypted computing solution for companies and organizations aimed at preventing hostile intrusions and the theft of sensitive commercial information.
Hub offers cybersecurity solutions to, amongst others, the AI, Fintek, and critical infrastructure sectors. The company employs 400 employees, and its offices are located in Israel and the United States.
Founded in 1987, Comsec boasts an extensive customer base spanning over a thousand leading companies in 40 countries across five continents. It operates four consulting and distribution companies and has subsidiaries in the UK and the Netherlands.
The company offers a broad spectrum of services to its clients, providing comprehensive solutions in application security, security, and source code testing. These include application lifecycle development consulting, infrastructure security, and communication security. It further provides security auditing via several models; Threat Modeling, penetration tests, Black Box and comprehensive White Box audit Design Review, and more.
Comsec’s annual sales turnover is approx NIS 120 million. Its customers include banking, insurance, hi-tech, communications, industrial, retail, large-scale infrastructures, and local and central government bodies and ministries. Comsec is a one-stop shop for all their cybersecurity needs.
Happy to announce the acquisition of @ComsecGlobal one of the leading Cybersecurity consulting companies in the world. This move will leverage our expansion to over 40 countries and accelerate the adoption of our Cyber solutions worldwide. #Cybersecurityhttps://t.co/Q0d8yZRNU0 pic.twitter.com/LmDrrAmEsr
— HUB Security (@hubsecurityio) September 29, 2021
“HUB has developed a technology that can cause a paradigm shift in the Cyber Security market,” commented Mr. Rony Sternbach, Comsec Chairman and controlling shareholder. “HUB’s solution was considered to be the Holy Grail long awaited by governments and enterprises worldwide. The combination between the two companies creates a unique entity that has a strong foundation of global cyber business coupled with an unparalleled growth potential that leverages upon a 40-country sales infrastructure. In our opinion, this is a classic case of 1+1 equals 10 and not two.”