Singtel on Wednesday agreed to buy U.S.-based cyber security firm Trustwave in a deal worth $810 million.
The acquisition will augment Singtel’s managed services division with a broad portfolio of security solutions, as well as 3 million business subscribers across 96 countries.
"Our extensive customer reach and strong suite of ICT services, together with Trustwave’s deep cyber security capabilities, will create a powerful combination and allow SingTel to capture gl obal opportunities in the cyber security space," said Chua Sock Koong, CEO of Singtel, in a statement.
According to Gartner, the global managed security services market is expected to grow to a $24.2 billion annual revenue opportunity by 2018. Asia Pacific and North America – two regions where Singtel and Trustwave have a big presence – is expected to account for $16.2 billion of that sum.
Founded in 1995, Chicago-based Trustwave employs 1,200 staff in 26 countries. In addition to protecting data, and detecting and countering threats, the company also has its SpiderLabs team, comprised of researchers and so-called ‘ethical hackers’, who identify and reverse-engineer new threats, and field test network security solutions.
"This strategic partnership creates an unparalleled opportunity to combine Singtel’s robust information and communications solutions with Trustwave’s industry-leading security technologies and managed services platform to deliver cutting-edge solutions that will enhance our customer experience," said Trustwave chairman and CEO Robert McCullen.
The deal will see Singtel take a 98% stake in Trustwave, while McCullen will retain the remaining 2%. The transaction is expected to close in three-to-six months.
