Bain Capital and Crosspoint Capital Partners Buy ExtraHop Networks

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2021-06-08 16:30:05

Two private-equity firms are buying cybersecurity company ExtraHop Networks Inc. for $900 million, as a series of recent high-profile ransomware attacks have put cybersecurity risk back in the spotlight.

Bain Capital Private Equity and Crosspoint Capital Partners have agreed to acquire ExtraHop, which provides network detection and response services, including combating ransomware attacks, according to ExtraHop Chief Executive Arif Kareem.

The technology business aims to prevent security breaches, uncover such breaches when they occur and monitor behavioral changes across cloud, data center and Internet of Things networks for potential cyber threats. ExtraHop’s customers include Ulta Beauty Inc., Home Depot Inc., Texas Children’s Hospital and Gas South LLC, among others.

Ransomware attacks have made headlines in recent months across a range of industries. Last week meatpacking company JBS SA and a ferry service in Massachusetts were hit by ransomware attacks. Just a month before, a similar attack struck Colonial Pipeline Co., one of the largest fuel pipeline operators in the U.S. Colonial’s chief executive authorized the payment of $4.4 million to the hackers to get the pipeline—which provides about 45% of the fuel for the East Coast—back online.