ServiceNow seeking $7bn acquisition of exposure management vendor Armis: Report

The “advanced talks” between the companies could lead to the announcement of a deal within days, according to a Bloomberg report

ServiceNow is looking to acquire cyber exposure management vendor Armis in a deal that could be valued at up to $7bn, according to a report.

Bloomberg indicated that “advanced talks” between the companies could lead to the announcement of a deal within days.

Armis declined to comment. CRN has reached out to ServiceNow for comment.

The report comes after Armis announced raising $435m in new funding in early November, as well as achieving a $6.1bn valuation in connection with the round.

Armis said at the time it was continuing to prepare for an initial public offering, which has been a goal for the company for the past several years. In September 2023, Armis co-founder and CEO Yevgeny Dibrov told CRN the vendor was stepping up its efforts to achieve readiness for an IPO.

The company’s annual recurring revenue recently reached $300m—up more than 50 per cent from the same time a year earlier—and Armis is on a “path to $1bn in ARR,” the vendor said in a news release in early November.

Service­Now, meanwhile, has continued to bolster its security platform including through a recently announced agreement to acquire identity security start-up Veza. The deal, disclosed in early December, is reportedly in the vicinity of “at least” $1bn, according to The Information.

Founded in 2016, San Francisco-based Armis has been among the most well-funded cybersecurity vendors in recent years, with a total of $1.06bn raised over four funding rounds since February 2021.

Armis’ funding round announced in November was led by Growth Equity at Goldman Sachs Alternatives.

The vendor recently debuted a number of advancements for improving security and visibility into IT and OT environments as well as all connected assets. With version 25.3 of its Centrix platform, the company launched the Armis MCP Server and revamped its Centrix Assistant with the aim of making interactions simpler and more intuitive.

This article originally appeared on CRN UK sister website CRN.