SoftBank-Backed Cohesity To Buy Veritas Data Security Unit

US data security software firm Cohesity informed Reuters that it has agreed to acquire Veritas' data protection business in a deal that values the combined entity at $7 billion, as reported by Krystal Hu and Anirban Sen for Reuters.

The cash and stock acquisition is expected to help Cohesity, backed by Japan's SoftBank Group, achieve positive growth margins and expand into global markets. I Photo: Nemo’s great uncle Flickr

The cash and stock acquisition is expected to help Cohesity, backed by Japan's SoftBank Group, achieve positive growth margins and expand into global markets, Cohesity CEO Sanjay Poonen said in an interview, adding that the firms together have $1.6 billion in annual revenue.

"You've got the fastest growth on our side and the best profitability on their side, combined together to be a profitable growth machine that's innovating with AI," he said.

The deal comes at a time when Cohesity's biggest competitor, Rubrik, is, according to sources, planning to launch a stock market flotation in the coming weeks. San Jose, California-based Cohesity's artificial intelligence-powered software helps organizations protect and manage their data against cybersecurity threats.

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