FireEye (Nasdaq: FEYE) has bought security threat intelligence company iSIGHT Partners for $200 million cash in a bid to help enterprise clients detect and respond to sophisticated cyber attacks.
Former iSIGHT shareholders are eligible to receive an additional $75 million in cash and stock if the business meets the target for threat intelligence bookings by the end of FireEye’s fiscal 2018 second quarter, FireEye said Wednesday.
“As the cyber operations become integrated with physical, geopolitical and competitive conflict, an intelligence-led approach to security will be key in detecting the most sophisticated threats and responding to them quickly and effectively, ” said David DeWalt, FireEye CEO and chairman of the board.
FireEye seeks to connect its Dynamic Threat Intelligence ecosystem to an iSIGHT network designed to analyze threat patterns and actors on a global basis.
California-based FireEye also plans to introduce subscription models for new and existing customers to purchase customized cybersecurity offerings from the company.
FireEye expects the acquisition to be slightly accretive on operating income and cash flow during its 2016 fiscal year.
