Trident Sees 3.4x Return On Solera Exit

Blue Coat System’s acquisition of Solera Networks is the latest exit of a venture-backed security company, and a lucrative one, too.

Allegis Capital, an early backer of Solera, expects a return of more than 10x on the first money it invested, according to a peHUB post from the firm’s Managing Director Robert Ackerman. Allegis invested in three rounds, according to data from Thomson Reuters, peHUB publisher.

Trident Capital also is turning a tidy profit. The firm says it will receive a 3.4x return on its money and generate an IRR of 61%. Trident invested $15 million in the company over two rounds, an expansion round and a later stage round.

The solid returns should be no surprise. Solera’s technology addressed the hot area of big data analytics, keeping a record of packets on a network to detect and analyze attacks. It brings the unique ability to retrieve quickly and search through large volumes of data, says Alberto Yepez, a Trident managing director.

Its customers include the Department of Defense and the Department of Energy.

Along with Allegis and Trident, investors include Intel Capital and Signal Peak Ventures.

The Solera deal is clearly not the last in the security space. Security is a hot market, and “it will continue to provide good returns to investors,” says Yepez. “There is a lot of disruption.”

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