Technology

ExpressVPN sells for $ 936 million to competitor Kape Technologies

Anglo-Israeli holding company Kape Technologies, specializing in cybersecurity and online privacy, just bought the ExpressVPN virtual private network for $ 936 million, including $ 237 million in stock for ExpressVPN co-founders Peter Burchhardt and Dan Pomerantz.

They said, after the sale, that ExpressVPN would remain a separate service and that their team would continue to grow into what “will form the undisputed world leader in digital privacy.” Of its approximately 290 employees, 48% of ExpressVPN is involved in research and development. In announcing the deal, Kape staff praised ExpressVPN’s agreements with leading electronics manufacturers such as HP, HMD Global, Acer, Dynabook, and Philips.

ExpressVPN now has more than three million customers, more than 40% of which are in North America. In fiscal 2020, the network posted revenue of about $ 279 million, up 37% year-over-year. Its EBITDA stood at $ 75 million, up 35%, Kape said in its regulatory filing.

Creation of a giant in the sector

“Significant cross-selling and revenue opportunities across the platform; operational and top-of-the-line synergies greatly improve ratios and should generate cost savings of $ 19 million in 2022 and $ 30 million on an annualized cost basis beginning in 2023, ”reports Kape Technologies management.

Cross-selling aside, ExpressVPN management assures us that the network will continue to provide better protection against a “growing spectrum of threats.” “We were impressed by Kape’s clear commitment to protecting user privacy,” ExpressVPN staff said in a blog post. “Together, we will advance privacy technology, allowing you to maintain firm control of your digital experience, even when new threats and challenges arise. “

“Their record of complying with the stringent privacy policies and practices of other privacy services under the Kape umbrella is a strong testament to the seriousness with which they take their responsibility to respect the privacy and rights of users. In total, the combined business will have around six million paying subscribers. Kape Technologies is not its first VPN purchase: the holding company has already bought the companies ZenMate and Cyberghost, having specialized in scareware under its old Crossrider label.

ExpressVPN is a web browsing service with a secure connection that creates a tunnel between your computer and the Internet so you can browse anonymously.

  • Downloads: 75
  • Release date : 01/09/2021
  • Author: ExpressVPN
  • License: Commercial license
  • Categories:
    Internet – Security – VPN
  • Operating system: Android – Linux – Windows – iOS iPhone / iPad – macOS

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