Including IdMlogic, a security startup that helps companies manage users and system access requests, CA Technologies has bought 12 Israeli startups. But CA’s recent operations have been dicey in Startup Nation
Fifteen-year-old Israeli enterprise startup IdMlogic was acquired on Monday by management software solutions leader CA Technologies for approximately $20 million according to Globes and the Marker (in Hebrew). Considering CA Technologies helps companies’ IT professionals manage their systems’ infrastructure more efficiently, and IdMlogic provides a management solution so that businesses can more easily track users, reset passwords, and securely accept requests to access the system, it makes sense that CA Technologies would find IdMlogic’s technology complementary. They also announced a major cooperation in April in which IdMLogic’s technology would be integrated with CA Technologies’ solutions.
Although CA Technologies has acquired 12 Israeli startups, including retrieval solutions company XOsoft for $100 million in 2006, big data startup Nolio for $40 million in 2013, and a similar startup called Eurekify, which oversees IT permit systems, for about $25 million in 2008, the move is surprising considering CA Technologies’ rocky month in Israel.
Two weeks ago, the company announced that it would be shutting down its Israeli sales operation, a move that laid off dozens of employees. To add fuel to the fire, according to Calcalist (in Hebrew), IdMlogic’s acquisition mandates that all 25 IdMlogic employees now work for CA Technologies instead. So this move feels more like an acqui-hire rather than a celebratory acquisition. And a $20 million acqui-hire after 15 years of operation is more of a whimper than a boom.
To learn more about IdMlogic, watch this video: