In a landmark deal poised to redefine the data protection and cyber-resiliency market, Cohesity announced it has entered into a definitive agreement to merge with Veritas’s data protection business, creating a new entity focused on the data protection and management market.
The merger deal’s essence lies in forming a new entity expected to deliver combined pro forma annual revenues of $1.6 billion and an Annual Recurring Revenue of $1.3 billion.
The combined entity will boast an expanded global footprint, serving over 10,000 customers, including a significant portion of the Fortune 100. This vast customer base underlines the merged company’s strong market presence and influence, particularly in managing vast exabytes of critical data.
The deal promises accelerated product innovation in areas like cloud, security, and AI, driven by scaled R&D investments, ensuring a continuous stream of advanced data protection and management solutions.
Current Cohesity CEO Sanjay Poonen will lead the new organization as CEO and President, with Veritas CEO Greg Hughes serving as a Board member and strategic advisor. This leadership structure is expected to ensure a smooth transition and integration of the two companies’ operations and cultures.
The combined innovations of Cohesity and Veritas are expected to provide organizations with an extensive, multi-cloud data protection portfolio, marking a significant step forward in the data security and management landscape.
Combining the capabilities of Cohesity with the data protection prowess of Veritas is a disruptive and transformative move in the data protection and cyber-resiliency markets.
The merger is a clear response to the escalating cyber threats, particularly ransomware, underscoring the necessity for advanced, resilient data protection solutions. Combining Cohesity’s strength in AI-powered data management with Veritas’s capabilities in multi-cloud data resilience, the new entity is poised to offer one of the most robust portfolios in the market.
Financially, the merger establishes a business giant with pro forma annual revenues of $1.6 billion and an ARR of $1.3 billion, significantly impacting the market. The combined customer base, including a notable portion of the Fortune 100, immediately offers a substantial market presence and influence. This scale benefits the merged entity in terms of market reach and positions it to drive innovation and set new benchmarks in data security and management.
From a customer and partner standpoint, the merger promises an expanded suite of solutions and services. The synergy between Cohesity and Veritas is expected to translate into more comprehensive, efficient, and secure data management solutions, offering tangible benefits to customers and opening new avenues for partners. Each company is well-respected across the industry, and this should be viewed as a merger of companies sharing a common vision.
The merger is a strategic move reflecting the evolving needs of the industry. It underscores the importance of scale, innovation, and comprehensive solutions in addressing modern cybersecurity challenges. As the merger progresses, its impact on customers, partners, and the overall market will emerge. This is a strong move for both companies that should be applauded by their respective customer bases.