Cybersecurity company Proofpoint has agreed to acquire data security firm Varonis Systems in an all-cash deal valued at approximately $6.3 billion, highlighting the growing demand for advanced protection against data theft and AI-driven cyber threats.

Under the agreement announced Thursday, Varonis shareholders will receive $49.75 per share, representing a 52% premium over the company’s closing share price on June 22, before takeover speculation emerged.

The transaction is expected to close in the first half of 2027, subject to customary closing conditions. The companies have not announced a completed transaction.

Miami-based Varonis specializes in protecting sensitive data stored in cloud environments and monitoring user behavior to identify potential security risks. Proofpoint provides cybersecurity tools designed to protect businesses from digital attacks, email threats and data loss.

The proposed acquisition reflects how businesses are increasing investment in cybersecurity as criminals use AI tools to make attacks more sophisticated. Combining data protection with broader security capabilities could strengthen services for companies managing sensitive corporate information.

The deal also highlights continued consolidation in the cybersecurity industry, where providers are expanding their capabilities to meet growing enterprise demand for integrated security solutions.