Dell Technologies will sell its RSA Security cybersecurity business to private equity firm Symphony Technology Group (STG) for $2.075 billion.
The transaction, which includes the purchase of RSA Archer, RSA NetWitness Platform, RSA SecurID, RSA Fraud and Risk Intelligence and RSA Conference, is expected to close in the next six to nine months. Terms of the agreement were not disclosed.
Earlier it was reported by Bloomberg in 2019 that Dell Technologies was mulling the sale of RSA for at least $1 billion, including debt. This was considerably lower than the amount of $ 2.1 billion that EMC paid for RSA Security in 2006. RSA came into the hands of Dell through the latter’s acquisition of EMC in 2016 for $67 billion.
“This is the right long-term strategy for Dell, RSA and our collective customers and partners,” said Jeff Clarke, Chief Operating Officer and Vice Chairman, Dell Technologies. “The transaction will further simplify our business and product portfolio. It also allows Dell Technologies to focus on our strategy to build automated and intelligent security into infrastructure, platforms and devices to keep data safe, protected and resilient.”
According to RSA President Rohit Ghai, with a more independent configuration, RSA will be in an even better position to accelerate innovation and expand opportunities for its partner ecosystem.