Former Mossad chief’s cybersecurity startup XM Cyber acquired for USD 700 million

European retailer and cloud computing operator Schwarz Group announced on Monday the acquisition of XM Cyber, an Israeli hybrid cloud cybersecurity firm co-founded by former Mossad chief Tamir Pardo.

Launched in 2016 by Pardo, Noam Erez, and Boaz Gorodiski, XM Cyber provides a platform that simulates organized cyber attacks so companies can learn the best ways to respond to them. The platform finds new exposures, exploitable vulnerabilities, misconfigurations, and user activities that could potentially put organizations at risk of an attack. Last year, XM Cyber raised a USD 17 million Series B funding round led by Macquarie Capital.

XM Cyber will continue to operate independently, offering its full suite of products under its current brand and support structure. The firm will also remain committed to supporting its global customer base, XM Cyber announced.

Schwarz Group, the parent company of Lidl, Kaufland, and other brands, is the world’s fourth largest retailer by revenue. The firm is also a growing force in cloud computing, a sector it entered last year by building its own cloud computing platform for retailers.

“The comprehensive knowledge in securing complex hybrid cloud networks” was an essential aspect of the strategic acquisition of XM Cyber, Schwarz Group announced.

“With the backing and international footprint of the largest European retailer, we can accelerate innovation and growth and further strengthen our position in the global cybersecurity market. I would like to take this opportunity to thank our investors who have supported us along the journey in building this unique company,” said XM Cyber CEO, Noam Erez.

“XM Cyber brings deep technical understanding and innovation that perfectly complements our portfolio for advanced cybersecurity services,” said Christian Müller, chief information officer of Schwarz Group.

“Finding and closing security gaps from an attacker’s perspective is a disruptive approach to the way organizations can proactively protect their networks. XM Cyber’s solution builds on our strong IT security to further protect our customers, partners, and ourselves as a company,” he added.

The article was originally published by NoCamels, a leading news website covering breakthrough innovation from Israel for a global audience.