Proofpoint to acquire Hornetsecurity to boost MSP security reach

Proofpoint has entered into a definitive agreement to acquire Hornetsecurity Group, a pan-European provider of AI-powered Microsoft 365 security services, data protection, and security awareness solutions.

The planned acquisition is expected to enhance Proofpoint's ability to deliver human-centric security for small and mid-sized businesses (SMBs) on a global scale, specifically through managed service providers (MSPs).

By integrating Hornetsecurity's MSP-focused offerings, Proofpoint aims to bolster its capabilities to protect organisations and individuals against cyberthreats across digital environments.

Hornetsecurity currently operates with more than USD $160 million in annual recurring revenue, reporting over 20 percent year-over-year growth. The company services over 12,000 channel partners and MSPs and supports more than 125,000 SMBs throughout Europe. Proofpoint, in contrast, is a recognised provider of enterprise-grade security and is trusted by 85 percent of the Fortune 100 and over half of the Fortune 1000.

By combining their platforms, both companies intend to provide security solutions tailored to various market segments.

The merger will be underpinned by shared threat intelligence aimed at improving defences against cyberthreats for a diverse range of global customers and partners.

Sumit Dhawan, Chief Executive Officer of Proofpoint, stated, "As attackers grow more sophisticated and people remain the primary target, organisations need security that protects them wherever they work - across email, cloud applications, and every digital channel."

"With the addition of Hornetsecurity, we're excited to extend our industry-leading, human-centric security platform to better serve the unique needs of MSPs and SMBs. We look forward to deepening our investment in the European markets as part of our global growth strategy."

Daniel Hofmann, founder and Chief Executive Officer of Hornetsecurity, commented, "Hornetsecurity's AI-powered security platform enables thousands of MSPs to deliver enterprise-grade protection to their SMB customers across Europe.

With the breadth of human-centric risks only growing, joining Proofpoint is a natural next step in our journey to build the strongest global offering of M365 security services."

"By coming together, we can better serve our partners and customers and extend that protection globally to help MSPs everywhere safeguard their customers' people, data, and operations."

The agreement follows a recently expanded partnership between Proofpoint and Microsoft, which is focused on enhancing security for mutual customers operating with Microsoft 365. This partnership is designed to provide scalable security innovation to detect and address digital threats targeted at individuals and the data they manage.

Hornetsecurity's primary product, 365 Total Protection, is a cloud security platform for Microsoft 365 that enables MSPs to offer consolidated services including advanced email security, data backups, user awareness training, access control, and domain fraud protection.

Proofpoint stated that the Hornetsecurity team will continue to develop and expand its Total Protection platform, aiming to introduce new cybersecurity solutions for their partners and clients. Both organisations expect combined intelligence and artificial intelligence models to enhance their detection and response to evolving cyberthreats.

Once the acquisition is finalised, Proofpoint intends to extend the Hornetsecurity platform's availability globally via its MSP network and customer base. Hornetsecurity will act as the group's central hub for MSP and SMB clients, with the goal of providing integrated services and advancing further innovation for these customer segments.

Daniel Hofmann will remain as Chief Executive Officer of Hornetsecurity, continuing to oversee the company's strategic direction and growth.

The existing management team will also stay in place to maintain continuity and accelerate the delivery of new cybersecurity solutions.

The transaction is scheduled to close in the second half of 2025, contingent on standard closing conditions. Specific terms of the agreement have not been disclosed.