Palo Alto Networks Will Buy CloudGenix for $420 Million

Palo Alto Networks announced this week that the company will be acquiring CloudGenix for $420 million.

CloudGenix was founded 2013 by Kumar Ramachandran, Mani Ramasamy and Venkataraman Anand. They will be joining Palo Alto as part of the deal. The company has 250 customers across a variety of verticals. The company has raised almost $100 million, according to PitchBook data.

According to a TechCrunch report, CloudGenix delivers a software-defined wide area network (SD-WAN) that helps customers stay secure by setting policies to enforce compliance with company security protocols across distributed locations.

Chairman and CEO of Palo Alto Networks, Nikesh Arora, said that this acquisition should contribute to Palo Alto’s
“secure access service edge,” or SASE solutions, as it is known in industry parlance.

“As the enterprise becomes more distributed, customers want agile solutions that just work, and that applies to both security and networking. Upon the close of the transaction, the combined platform will provide customers with a complete SASE offering that is best-in-class, easy to deploy, cloud-managed, and delivered as a service,” Arora stated.

Disclaimer: We have no position in Palo Alto Networks Inc. (NYSE: PANW) and have not been compensated for this article.