Apax Global Alpha to invest in cybersecurity firm Herjavec Group

Apax Global Alpha announced on Friday that the Apax X Fund, in which it is a limited partner, has agreed to acquire a majority stake in managed security services provider and cyber operations firm Herjavec Group (HG).

The FTSE 250 company said the transaction was expected to close in the second quarter, subject to customary closing conditions, adding that on a look-through basis, it expected to invest around €5.4m (£4.74m) in the company.

It said that HG, founded in 2003, has developed a reputation for attracting “top security talent”, and continuously advancing its services which include cybersecurity advisory services, architecture and implementation of “best of breed” technologies, identity and access Management, 24/7 managed security services, threat management and incident response.

“Having followed the company's progress to date, Apax X saw the opportunity to back a well-regarded player in the cybersecurity services space with solid potential for both organic and inorganic growth,” the Apax Global Alpha board said in its statement.

“The Apax funds, in partnership with HG's management team, will look to build on the company's impressive growth rate by accelerating international expansion efforts, augmenting HG's talent bench with additional threat and identity resources, and further advancing the ‘HG Identity’ and ‘HG SOAR’ proprietary platforms.

“The Apax tech team has a deep understanding of the cyber security market through the Apax funds' prior investments in Sophos, a world-leader in the space and Coalfire, a cybersecurity advisory business which was acquired by the Apax funds in 2019.”

At 0801 GMT, shares in Apax Global Alpha were up 2.14% at 207.35p.