Palo Alto Networks in talks to buy CyberArk

Palo Alto Networks is in talks to acquire CyberArk Software in a deal that could value the Israeli cyber security firm at more than US$20 billion ($30.7 billion), the Wall Street Journal reported, citing people familiar with the matter.

The company could finalise a deal for CyberArk as soon as later this week, the report said.

CyberArk declined to comment on the report when contacted by Reuters.

Palo Alto did not immediately respond.

Cyber security deal activity has been robust in recent years as large corporations have increased spending on security tools.

Google-parent Alphabet said in March it would buy Israeli cybersecurity startup Wiz for about US$32 billion.

Rising competition among all-in-one cybersecurity platforms has reshaped the industry, making several companies attractive takeover targets for larger rivals and private equity firms.

As of Monday’s close, CyberArk had a market capitalisation of US$19.3 billion, according to data compiled by LSEG.