In what would be its second Israeli acquisition in three weeks, Chinese phone manufacturer Huawei reportedly will acquire Israeli database security and compliance solutions startup Hexatier as the Chinese conglomerate highlights and expands its growing presence in Silicon Wadi.
The deal is worth $42 million according to reports by Israeli financial daily Calcalist. Originally GreenSQL, the company rebranded itself earlier this year to Hexatier.Rumors of the deal first emerged last week with reports in Reuters and Israeli financial daily Globes. Hexatier focuses on database security, dynamic data masking, activity monitoring, and “discovery of sensitive data.” Additionally, their software lets system managers create rule dependent restrictions for access based on a number of factors like IP address, seniority, and geography (among other things).They have been selling themselves as the would-be leader in cloud database security, but they have also serviced on-premises networks. Hexatier’s database security services support Microsoft Windows SQL Azure, SQL Server, MySQL, PostgreSQL, Amazon RDS and Maria DB.
The exit is small relative to what the company has raised, a total of $14.4 million between 2009 and 2014 with money from Magma Venture Partners, Rhodium, Texas Atlantic Capital, and Jerusalem Venture Partners (JVP). Their $7 million round in April 2014 also included investors Gandyr and 2Bangels.
The talks to make the deal also follow Huawei CEO Ren Zhengfei’s visit to the country earlier this year. This month, they also acquired switch and router manufacturer Toga Networks in the Israeli city of Hod Hasharon. That deal was reportedly worth over $100 million and perhaps as much as $150 million, according to Calcalist and Zirra.
Hexatier was founded in 2009 by CEO Amir Sadeh, Director of Sales Hadar Eshel, and CTO David Maman. They have 40 employees split between offices in Tel Aviv, Boston, and California.