N-able acquires Adlumin to boost cybersecurity offerings

N-able has announced its acquisition of Adlumin, a security operations platform company, expanding its security capabilities with cloud-native XDR and MDR functionalities.

The acquisition builds on the existing partnership between N-able and Adlumin, enhancing N-able's ability to support IT service providers worldwide by integrating Adlumin's technology into its platform that includes security, unified endpoint management, and data protection solutions. The move is expected to advance N-able's cybersecurity portfolio and improve security resilience across the IT environment.

John Pagliuca, President and CEO of N-able, commented, "Our customers have been telling us for some time that cloud-native XDR and MDR solutions are mission-critical to their ability to fully secure their customers and users—which solidified our decision to partner with, and now, acquire Adlumin. We've proven out customer demand with robust growth and we determined that we could scale our business faster if we owned it. I'm thrilled to formally welcome them as a part of N-able."

N-able's platform, known as Ecoverse, aims to unify security and endpoint management, closing the coverage gaps often present in multi-vendor IT environments. Adlumin's platform is designed to integrate seamlessly with existing infrastructures, reinforcing N-able's strategic vision.

Robert Johnston, CEO of Adlumin, stated, "Joining forces with N-able marks an exciting new chapter in our mission to deliver enterprise-grade security to businesses of all sizes. Over the past year, our collaboration has demonstrated the tremendous value we can create together for MSPs and their customers. By combining our security operations expertise with N-able's comprehensive endpoint management platform, we believe we're uniquely positioned to help IT professionals stay ahead of evolving threats while scaling their security practices."

With the acquisition, N-able plans to offer benefits to its customers, including unified security operations visibility, AI-powered threat alerts, and built-in ransomware protection. The platform also aims to deliver comprehensive IT environmental coverage, support compliance workflows, and expand threat intelligence capabilities.

The financial terms include a cash payment of approximately USD $100 million at closing, stock issuance, additional cash installments, and potential earn-out payments based on performance metrics. N-able anticipates the acquisition will positively impact its annual recurring revenue and become accretive to cash flow by Q4 2025.

N-able has updated its financial outlook for the fourth quarter and full-year 2024. The company expects Q4 revenue of USD $113.3 to $114.8 million and an adjusted EBITDA of USD $35.0 to $35.5 million. For the full-year 2024, N-able forecasts total revenue of USD $463.0 to $464.5 million and an adjusted EBITDA of USD $166.3 to $166.8 million, reflecting a 10% year-over-year growth.

Advisory roles in the transaction included DLA Piper LLP for N-able, while Piper Sandler & Co. and Mintz, Levin, Cohn, Ferris, Glovsky and Popeo served as financial and legal advisors for Adlumin, respectively.