STG plans to bring together McAfee Enterprise and FireEye Products into a nearly $2 billion cybersecurity behemoth with more than 40,000 customers and 5,000 employees led by former Blackberry President and Cisco SVP Bryan Palma.
Private equity firm Symphony Technology Group (STG) announced its intent to purchase McAfee’s $1.35 billion enterprise business for $4 billion in early March and completed the acquisition in late July. In early June, STG announced that it would buy FireEye’s product business for $1.2 billion and that transaction is expected to close in the fourth quarter of 2021.
The private equity firm said it anticipates combining McAfee Enterprise and FireEye STG said the new company’s integrated security portfolio protects customers across endpoints, infrastructure, applications and in the cloud.
There is overlap between the McAfee Enterprise and FireEye Products portfolio, particularly in network, endpoint and cloud security. FireEye’s Cloudvisory offering overlaps with McAfee’s cloud security portfolio, with both FireEye and McAfee bringing their own SIEM platforms to the table with Helix and Enterprise Security Manager.
The publicly traded entity known today as FireEye will be renamed Mandiant. Assets remaining with Mandiant include the company’s threat intelligence and incident response services business.
FireEye’s product business has struggled for several years due to the persistence of legacy, on-premises, appliance-based technology. McAfee’s enterprise business has similarly struggled in recent years as it faces off against high-powered competitors like CrowdStrike and Sentinel One.