Check Point, a listed cybersecurity provider, has signed a definitive agreement to acquire Tel Aviv-based secure service edge (SSE) company Perimeter 81 for USD 490 million, on a no-cash, no-debt basis. The deal is expected to close in Q3 2023, subject to usual conditions.

Perimeter 81’s technology will be integrated into Check Point’s consolidated “Infinity” architecture, enhancing existing secure access service edge (SASE) capabilities. The company says the acquisition will enhance its ability to adapt to cloud transformation and increasingly complex, distributed enterprise infrastructure. 

Launched in 2018, Perimeter 81 offers a range of SSE and network security solutions, including zero-trust access and full-mesh connectivity between users, enabling businesses to ensure fast and secure networks and internet access for employees, from any location. Perimeter 81 serves 5,000 customers globally, including several Fortune 500 companies.

Check Point will acquire Perimeter 81 at a substantial discount to its last valuation. The startup raised USD 100 million in Series C funding in June 2022 at a valuation of USD 1 billion. The acquisition is Check Point’s seventh in four years, having acquired cloud development security firm Spectral in February 2022, and cloud email security company Avanan in August 2021.

Analyst QuickTake : This acquisition is the latest in a recent trend of cybersecurity heavyweights snapping up Israeli startups. Rubrik purchased Laminar earlier this week . In July, Honeywell announced it was in talks to acquire SCADAfence , Coro unveiled plans to acquire SASE provider Privatise , and CrowdStrike was rumored to be in talks to acquire CSPM platform Bionic AI .