Software company ServiceNow is in talks to acquire cybersecurity startup Armis, which was last valued at $6.1 billion, Bloomberg reports.
The deal could be valued at $7 billion, making it ServiceNow’s largest acquisition, the outlet said, citing people familiar with the situation who requested anonymity because the negotiations are private.
According to reports, the deal could be announced as early as this week, but could still fall through.
Armis and ServiceNow did not immediately respond to CNBC’s requests for comment.
Armis, which helps businesses secure and manage internet-connected devices and protect them from cyber threats, raised $435 million in a funding round just over a month ago and spoke to CNBC about its eventual IPO plans.
Armis CEO Evgeny Dibrov and CTO Nadir Israel.
Provided by: Armis
CEO and co-founder Evgeny Dibrov said Armis aims to list in late 2026 or early 2027, depending on “market conditions.”
Armis’ decision to acquire rather than wait to go public is a common path for startups at the moment. The IPO market remains volatile, and many startups are choosing to stay private longer instead of risking a modest debut on the public market.
Founded in 2016, Almis announced in August that annual recurring revenue exceeded $300 million, a milestone less than a year after reaching $200 million in ARR.
The latest funding round was led by Goldman Sachs Alternatives’ Growth Equity Fund, with participation from Alphabet’s venture arm Capital G. Previous backers include Sequoia Capital and Bain Capital Ventures.
Read the full Bloomberg article here.
