Accenture's Buying Spree Continues With Redcore Cybersecurity Acquisition
Accenture (NYSE:CAN) is acquiring Redcore, a consulting company providing identity, access management and security services for computer networks and online applications.
Redcore, based in Melbourne, Australia, develops authentication, authorization and administration services for cloud, web, mobile computing and access-management technologies. The company has deployed cybersecurity authentication and application gateways for Australian banks and government agencies. Besides government agencies, it has clients in the finance, health, retail and telecommunications sectors.
Acquiring Redcore will allow Accenture to expand its identity and access management services, security-as-a-service and cyber defense services, while also expanding Accenture’s Asia-Pacific business, says Kelly Bissell, managing director at Accenture Security. Redcore has offices in Australia, India, New Zealand, the Philippines and Singapore, with about 130 security staffers.
Accenture, based in Chicago, provides strategy, consulting, digital, technology and operations services. The company has more than 375,000 employees in more than 120 countries. Over the last three years it has poured $2.5 billion into acquisitions, with plans for more deals in targeted growth areas. Recently, Accenture acquired Maglan, a cybersecurity company in Israel. Financial terms of the Redcore transaction were not disclosed.
Cybersecurity companies have been attractive targets for middle-market M&A lately, with high-profile hacks and data leaks focusing attention on the issue of data security. Cybersecurity has been one of the main forces behind record-setting deal levels in technology M&A. Recent cybersecurity related deals have included ASRC Federal acquiring Vistronix Intelligence & Technology Solutions from Enlightenment Capital; Honeywell International Inc. (NYSE: HON) selling Honeywell Technology Solutions Inc. to KBR Inc. (NYSE: KBR); and Thoma Bravo LLC acquiring Imprivata (NYSE: IMPR), a health care IT security company.