Jan 18 (Reuters) – RSA Safety LLC, the previous cyber safety division of Dell Applied sciences Inc (DELL.N), is exploring a sale of its danger and compliance software program unit Archer for greater than $2 billion, based on folks accustomed to the matter.
RSA is working with funding banks Morgan Stanley (MS.N) and Goldman Sachs Group Inc (GS.N) on an public sale for Archer, which has attracted curiosity from different firms and buyout corporations, the sources mentioned.
Archer generated $220 million in income final yr and is rising profitably, added the sources, who requested anonymity as a result of the matter is confidential.
Spokespeople for Morgan Stanley and Goldman Sachs declined to remark, whereas RSA didn’t reply to a request for remark.
The potential sale represents the most recent in a string of offers involving RSA. Non-public fairness agency Symphony Know-how Group (STG), Ontario Lecturers’ Pension Plan, and Carlyle Group Inc’s (CG.O) funding arm AlpInvest Companions acquired the corporate from Dell for $2.075 billion in 2020.
Clearlake Capital, one other non-public fairness agency, invested in RSA the next yr.
In 2021, RSA reduce a cope with Reed Taussig, the pinnacle of its fraud prevention software program enterprise Outseer, to spin it off as an unbiased firm. Final yr, RSA bought a majority stake in its occasions enterprise, RSA Convention, to personal fairness agency Crosspoint Capital Companions for an undisclosed quantity.
Archer, headquartered in Bedford, Massachusetts, is a governance, danger and compliance software program platform with over 15,000 customers globally. RSA’s different enterprise divisions embody identification and entry administration platform SecureID and menace detection and response software program platform NetWitness.
Archer isn’t the one danger administration software program vendor up on the market in the USA. Reuters reported final month that non-public fairness agency BC Companions is exploring the sale of a stake in Navex International Inc that would worth the corporate at greater than $3 billion.
Reporting by Milana Vinn in New York
Modifying by Matthew Lewis
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