The acquisition of Magnet Forensics by Thoma Bravo is a significant investment by the private equity firm, as its software is used to investigate cybersecurity threats. This acquisition furthers Thoma Bravo’s goal ofgrowing its portfolio companies and providing them with enhanced technology-based solutions that can protect both businesses and individuals from cyberthreats.
The merger of Magnet Forensics and Grayshift will create the world’s leading mobile device forensics company. With holdings in both technology and forensic services, Morpheus will have a presence in every aspect of the mobile industry.
This transaction represents a significant step forward for both companies, as it brings together two of the top technology innovation hubs in the world. Combined, they are able to provide even greater user experiences and innovative technologies to their customers. In addition, this transaction also places GE within the Abrams portfolio of leading cycling companies.
The merger of two leading digital forensic and cyber security companies, Magnet and Grayshift, signals a new era of innovation in the industry. With their complementary abilities, the merged company will be well-positioned to create the most innovative solutions possible for its customers. Combined, they will have an edge over their competitors in terms of technology and customer service.
In 2010, Jad Saliba, a Waterloo Regional Police Constable, founded Magnet Forensics with the goal of developing software that could help law enforcement agencies manage digital evidence. With support from Jim Balsillie and Adam Belsher, then BlackBerry executives, Saliba’s software was incubated at the policing unit before he decided to sell it for a licensing fee. Today, Magnet Forensics’ digital investigation software is used by police forces around the world to gather evidence from computers, mobile devices, Internet of Things (IoT) devices and cloud services.
Despite its impressive customer base and support from the US intelligence community, there is still much that is unknown about Magnet Forensics. Exactly how the software works remains a mystery, as does the company’s true financial condition. With such a secretive history, it will be interesting to see what new information comes to light about Magnet Forensics in the future.
Shortly after the acquisition, Magnet Forensics noted an increase in annual recurring revenue and earnings. The company attributed this to their focus on growing their business through acquisitions. This was evident during their Q3 2022 earnings call where they reported 50% year-over-year growth in revenue and 25% growth in EBITDA.
One of the key benefits that Magnet has enjoyed over the past several years is its ability to rapidly grow in response to an expanding market for digital forensics. This growth has been particularly pronounced in the past few years, with estimates estimating that the digital forensic market will grow from $5.8 billion in 2022 to $10.9 billion by 2028. As a result, Magnet has been able to garner a strong position within this growing industry and continue firmly establishing itself as one of the leading providers of such services.
The merger of Grayshift and Magnet creates a powerful force in the forensic industry, capable of extracting and analyzing digital evidence more quickly and efficiently than ever before.
This acquisition by Belsher Forensic marks the latest in a trend of technology companies acquisitions aimed at strengthening their digital investigation capabilities. Thoma Bravo and Grayshift bring together two well-known brands in the field, and together they aim to create a more centralized platform that can be used by organizations of all types. This move could benefit not only law enforcement agencies, but also businesses that rely on digital information for their operations.
As one of the most well-known and financially successful investment firms in the world, Thoma Bravo is no stranger to investing in high-profile software startups. Recently, they have bought cybersecurity companies Ping Identity, Sailpoint, ForgeRock, Bottomline Technologies and Coupa Software. These acquisitions demonstrate their commitment to building a strong portfolio of technology companies that can help protect their clients from some of the biggest threats out there.
