Armis raises $435M pre-IPO round at $6.1B valuation after refusing M&A offers

Cybersecurity is a huge sector, but startups in the category are more likely to be acquired than go public. Even Wiz, which for a time held the title of fastest-growing startup, abandoned its IPO ambitions when it agreed Sell ​​to Google Earlier this year.

Over the past few years, some notable cyber security lists include: Sentinel One IPO in 2021, Rubric It did so last year, and Netscope went public in September.

Armis, a nine-year-old cybersecurity startup based in San Francisco, wants to follow in the footsteps of these companies. The company said on Wednesday it had raised a $435 million pre-IPO round led by Growth Equity in Goldman Sachs Alternatives. Capitalji made a significant investment in the round and new investor Evolution Equity Partners also participated.

The round valued Armis at $6.1 billion, a significant jump from the $4.5 billion tender offer valuation the startup announced in August.

Armis hopes to launch its IPO in late 2026 or early 2027, its co-founder and CEO, Yevgeny Dibrov (pictured above; right), told TechCrunch.

The round comes in the wake of significant acquisition interest in the company. In September, Bloomberg reported that Armis had received Seven offersThat included a potential $5 billion bid from private equity firm Thoma Bravo.

But this new funding is an indicator of how serious Armis is about an IPO, a move that DeBrov described as his “personal dream.”

According to DeBrov, Armis has reached annual recurring revenue of $300 million and plans to increase that number to $500 million as cash flow becomes positive ahead of the IPO.

The startup is already “behaving like a public company,” DeBrov said, adding that the company is making sure it hits its quarterly financial targets.

The company provides security software for critical infrastructure to Fortune 500 companies, national governments, and state and local entities.