Case Study: SecureWorks

Explore this investment 02.07.11

Fast Facts

  • Knowledge of Industry
  • Ability to Respond Quickly
  • Acquisition Financing

As experienced security investors, Great Hill Partners originally contacted SecureWorks in 2006 as part of an initiative in the managed security services provider sector. From there, we continued to closely follow the success of SecureWorks CEO Mike Cote and his team over several years. GHP recognized that the MSSP sector was an attractive growth market and that SecureWorks offered a compelling value proposition to its customers that included both deep security expertise and cost efficiencies.

During the depths of the recession in early 2009, SecureWorks identified Verisign’s Managed Security Services division as an acquisition that could transform its business and position it as the clear leader in the MSSP sector. However, there was an extremely short window of opportunity; SecureWorks needed a financing partner to commit capital within three weeks.

SecureWorks initially called us on April 8, 2009 when the Dow was at 7,837. We got to work right away. We met the following week, completed our diligence and made our financing commitment on April 25. GHP’s extensive knowledge of SecureWorks’ business and the sector as a whole allowed us to move quickly and deliver the capital the company needed to secure the acquisition.

We were rewarded for this investment when a Fortune 100 technology company similarly identified SecureWorks as a must-have security offering. SecureWorks was sold to Dell at a strategic valuation in February 2011.