ServiceNow to acquire cybersecurity startup Armis for $7.75 billion

Enterprise software company ServiceNow has agreed to acquire Armis, a nine-year-old cybersecurity startup, for $7.75 billion in cash.

The transaction represents a massive increase in the company’s valuation. Last month, Armis raised a $435 million pre-IPO funding round, which valued the company at $6.1 billion.

Armis co-founder and CEO Yevgeny Dibrov told TechCrunch last month that the company aimed to go public in late 2026 or 2027, adding that an IPO was his “personal dream.”

Given the unpredictability of IPO markets and the scarcity of cybersecurity companies make publicit’s no surprise that Armis ultimately chose an M&A exit.

According to ServiceNow, Armis reached $340 million in annual recurring revenue (ARR), with year-over-year growth above 50%.

Armis, which provides critical infrastructure security software to Fortune 500 companies and governments, will help ServiceNow expand its cybersecurity offerings.

The deal caps a busy acquisition year for ServiceNow, which acquired Moveworks for $2.85 billion and agreed to acquire cybersecurity startup Veza for $1 billion.

According to PitchBook, Armis has raised a total of $1.45 billion in venture capital from investors including Sequoia, CapitalG and Insight Partners.