Founded in 2019, Zilla Security had established itself in the IGA space with approximately $19 million in outside funding and a team of 40 employees. The company reported annual recurring revenue of $5 million and served more than 125 enterprise customers as of December 2024.
The acquisition will combine Zilla’s AI-powered IGA capabilities with CyberArk’s Identity Security Platform, while maintaining Zilla Comply and Zilla Provisioning as standalone offerings. This integration adds scalable automation to enhance identity compliance and provisioning across digital environments.
Zilla’s leadership team, including CEO Deepak Taneja and co-founder Nitin Sonawane, will join CyberArk as part of the acquisition. The deal was funded through CyberArk’s existing cash reserves.
CyberArk CEO Matt Cohen emphasized the strategic importance of the acquisition, stating that the integration of Zilla’s modern IGA capabilities will “reshape identity governance with scalable automation that delivers compliance and helps maximize security for the modern enterprise.”
The acquisition comes amid strong financial performance for CyberArk, which reported $1 billion in sales for 2024, a 33.1 percent increase from 2023. The company also achieved a 41 percent year-over-year revenue increase in Q4 2024, 62 percent growth in subscription revenue, and annual recurring revenue exceeding $1 billion.
This latest acquisition follows CyberArk’s $1.54 billion purchase of machine identity firm Venafi in 2023, showing the company’s ongoing expansion of its cloud-native identity security capabilities.
Industry response has been positive, with Optiv Vice President Andy Walker noting that the integration of modern IGA capabilities into a single platform will provide significant benefits for CyberArk’s customers and address a critical market gap.
The transaction represents a significant return for Zilla Security’s investors, with the $175 million purchase price representing a substantial premium over the company’s $19 million in raised capital.
Sources: ETCIO South East Asia, Digital Terminal, India Technology News, The Open News
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February 15, 2025 – by the ID Tech Editorial Team
