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Varonis Systems Jumped 10% Without A Deal — Could Proofpoint Still Pay Much More?

Varonis Systems has moved from takeover speculation to something more concrete, but the transaction is still unfinished. Thoma Bravo-owned Proofpoint is in discussions to acquire the data-security company, according to Reuters, while Bloomberg reported that negotiations are advanced enough for a transaction to potentially be announced within weeks. The market reacted quickly. Varonis closed at $46.76 on September 2, up more than 10%, lifting its market capitalization to roughly $5.4 billion. Yet there is still no definitive agreement and no disclosed acquisition price. Another bidder could also emerge. That last point matters because Varonis was already exploring strategic options in June. At that time, the company was working with advisers after attracting preliminary interest from Thoma Bravo, Blackstone, and Vista Equity Partners. The takeover question has therefore changed. It is no longer whether buyers have looked at Varonis.