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Permira's acquisition of Mimecast will put it in a better position to deliver innovation

Last December Mimecast announced its intention to be acquired by Permira, a global private equity firm focused on transformational growth at scale, for $5.8 billion

The growing volume and increasing sophistication of cyber threats are driving greater interest in the cybersecurity sector, says Brandon Bekker, SVP for the EMEA region at global cybersecurity company, Mimecast.

There's also an increased demand for security solutions as threat actors aim to capitalise on the recent switch to hybrid work in light of the pandemic.

He also explained that the disruption caused by the adoption of hybrid work models in light of the Covid-19 pandemic, and broader geopolitical instability, have created fertile ground for threat actors who are capitalising on the ongoing fear and uncertainty.

“It has never been more important to have advanced security measures in place, preferably using a layered security strategy that protects organisations within, at, and outside their e-mail perimeter,” he said. “All of these factors combined have made cybersecurity firms attractive investment and growth opportunities.”

In December last year, Mimecast announced its intention to be acquired by Permira, a global private equity firm focused on transformational growth at scale, for $5.8 billion.

“Permira was not the first private equity firm to approach us, and throughout the cybersecurity sector you can find examples of leading companies being acquired by private equity firms,” Bekker said. “Permira's resources, network and experience scaling global technology companies will put Mimecast in a better position to deliver the innovations that our customers - and the world - need. Their philosophy of 'product first, growth first' also resonates with our own values and aligns with our ongoing investment in R&D.”

Another major advantage of private equity firms such as Permira is that they operate much like a venture firm, with a strong focus on product expansion, Bekker added. Private equity firms can help companies become more agile in their growth strategy and nimbler in merger and acquisition activity.

Asked how the acquisition will impact Mimecast’s plans in the region, Bekker said: “We still see the Middle East as an important market for the business with great potential to expand our customer base and grow our regional footprint. The focus for now remains on delivering to our existing customer base in UAE and Saudi Arabia, and growing our customer base organically in both these markets.”

“We are however working with our partners to identify and tap into new countries in the region to grow our regional footprint. Cybersecurity is a top business priority in the region, with top-level government support in both UAE and Saudi Arabia to help protect public and private sector companies from threats. Our focus will remain on innovation and adapting our solutions to reduce risk and protect customers from a growing volume of sophisticated attacks,” he said.

He also shared that Mimecast’s latest State of Email Security 2022 report for the Middle East region found that organisations are actually making gains against cyberattacks. In the UAE, nearly all organisations that responded to the research have been the target of email-related phishing attacks, but 30 per cent reported a decrease in the volume of such attacks, with one in five noting the decrease was 'significant'.

Part of the reason for this is the near-ubiquity of cyber resilience strategies being in place at most organisations in the region. Every organisation in UAE that responded to the research either has a cyber resilience strategy in place or are actively planning to put one in place. Governments are also stepping up with new measures to protect citizens and critical infrastructure from attack. In the UAE, 42 per cent expect improvements in the overall level of cybersecurity in their business, and more than a third anticipate lower risk of cyberattacks impacting their business due to government mandates.

rohma@khaleejtimes.com