ESentire – which is owned by investment companies Warburg’s PincusCaisse de dépot et placement du Quebec (CDPQ) and Georgian – are working with investment bank Evercore on a sale process that could attract interest from other private equity firms, said the sources, who requested anonymity because the discussions are confidential.
The owners of Waterloo, Ontario-based eSentire expect to value the company at more than seven times its annual value. Recurring revenue about $150 million, the sources said, cautioning that no deal is guaranteed.
Warburg Pincus, CDPQ and Evercore declined to comment. Georgian and eSentire did not respond to requests for comment.
Founded in 2001, eSentire is a manufacturer of AI-powered cybersecurity tools that help businesses investigate and stop security threats before operations are disrupted. It counts more than 2,000 organizations in more than 80 countries and across multiple industries among its clients.
Warburg Pincus first invested in eSentire in 2017. Canadian pension fund CDPQ and Canadian venture capital firm Georgian acquired a significant stake in eSentire from Warburg in 2022.
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Dealmaking in the cybersecurity sector has been robust amid increased spending on AI-based security software by large corporations. Earlier in August, Reuters reported that Japanese cybersecurity firm Trend Micro is exploring a sale after attracting takeover interest. In July, Google parent Alphabet attempted to close a $23 billion deal to buy cybersecurity startup Wiz before negotiations fell through.
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