PomegraVaronis Stock Rises 2.7% After $6.3B Proofpoint Buyout
Why is Varonis stock up today?
Varonis (VRNS) stock rose 2.7% in after-hours trading on Thursday after Proofpoint agreed to buy the company for $49.75 a share in cash, a $6.3B deal.
Key numbers
| Deal value | $6.3Ball cash |
|---|---|
| Price per share | $49.75+52% vs $32.71 on Jun 22 |
| Premium to Sept 1 close | 17%vs $42.35 close |
| Price vs yearly sales | 8.4x53x yearly free cash flow |
| VRNS after-hours move | +2.7%Thursday, per [3] |
What happened
Varonis (VRNS) stock rose 2.7% in after-hours trading on Thursday after Proofpoint agreed to buy the company for $49.75 a share in cash, a $6.3B deal. Proofpoint, a cybersecurity firm owned by the investment firm Thoma Bravo, will pay about 52% more than Varonis traded for on June 22, before sale rumors began. Varonis's board approved the deal, which is expected to close in the first half of 2027 if shareholders and regulators agree. After that, Varonis will stop trading on the Nasdaq stock exchange.
Why it matters
Varonis, whose software helps companies keep sensitive data safe from hackers and misuse, is moving from the public stock market to private ownership. Its shareholders will get a fixed cash price instead of a share price that can rise or fall. The buyer is paying about 8.4 times the company's sales over the past year. The deal also shows investment firms are again spending big on technology companies.
Who this affects
- MarketbullishLow impact
- Private equity buying software again; positive for tech sellers.
- CompanybullishMedium impact
- Varonis shareholders get a 52% premium in cash; good.
- CompetitorsneutralLow impact
- Rival security firms now face a bigger Proofpoint.
- IndustrybullishLow impact
- Cybersecurity deal-making picks up; good for sellers.
Varonis vs CrowdStrike, Palo Alto Networks, Rubrik
How we got here
Varonis closes at $32.71, the last trading day before sale rumors began.
Varonis closes at $42.35; the final offer is 17% above that price.
Proofpoint announces the $6.3B all-cash deal at $49.75 a share.
What to watch
- Varonis shareholder vote and regulatory approvals needed before the deal can close.H1 2027
- Varonis third-quarter results; the company has said no earnings call is planned.2026-11-03
- Thoma Bravo equity, debt commitments and Ontario Teachers' investment funding the purchase.H1 2027
Educational content only. Not investment advice.
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