Insight Partners to receive $4.2 billion from Armis sale to ServiceNow
Other major investors also benefit from the $7.75 billion deal: CapitalG to receive $720 million, One Equity Partners $387.5 million, and Georgian $310 million.
The largest beneficiary of ServiceNow’s $7.75 billion acquisition of Israeli cybersecurity company Armis is Insight Partners, which holds about 55% of the company and is expected to receive roughly $4.2 billion in cash from the deal.
Founded in 2015 by Yevgeny Dibrov (CEO) and Nadir Izrael (CTO), Armis develops technology to secure critical infrastructure and give organizations real-time visibility and protection across their entire digital attack surface, from local networks to cloud environments. The company employs approximately 950 people in Israel and worldwide.
In addition to Insight Partners, other major shareholders will also receive significant payouts: Google’s investment fund, CapitalG, holds 8% and will receive about $720 million; One Equity Partners, with a 5% stake, will receive roughly $387.5 million; and Georgian, which owns 4%, will be paid about $310 million. The Armis founders, each holding a 6% stake, are expected to pocket approximately $465 million in cash.
Insight Partners, which acquired a controlling stake in Armis in 2020 for about $1 billion, has been closely involved in scaling the company. “Since our initial investment in 2019, Armis has grown from a focused OT security startup into a global leader in cyber exposure management, expanding its platform to secure increasingly complex enterprise environments,” said Insight Partners Managing Partner Teddie Wardi. “The company’s growth is a testament to the team’s execution, strong customer adoption, and its increasing relevance in today’s threat landscape. We look forward to supporting them in this next chapter with ServiceNow.”
The acquisition follows a recent $435 million funding round that valued Armis at $6.1 billion, one of the largest private financings in the cybersecurity sector this year.
ServiceNow said the acquisition will more than triple its market opportunity for security and risk solutions and accelerate its roadmap to autonomous proactive cybersecurity.
