Popular Cybersecurity Firm Trend Micro Is Considering Sale

• According to a report published on Thursday, Trend Micro might be planning to sell the company.
• The company is already in talks with investment bankers to seek interested investors.
• A private equity firm has already shown interest, but no deal has been finalized yet.

Cybersecurity giant Trend Micro is apparently considering a sale. The company is currently valued at 950 billion yen ($6.5 billion).

The news came via a Reuters report on Thursday, which revealed that Trend Micro might be exploring a sale after it recently found out about a buyout interest." This coincided with its stock prices taking a hit.

Since the beginning of 2023, Trend Micro has lost almost 10% share value. It looks like it's having a tough time competing with bigger US-based competitors, such as CrowdStrike, Microsoft, and Palo Alto Networks.

In addition to that, the recent weakening of the yen against the dollar might also have a role to play in all of this, given that Trend Micro is a Tokyo-based company.

However, this contrasts with its financial report for the second quarter, according to which its net sales increased by 13% year-over-year to $440 million.

Trend Micro hasn't responded to any requests for a comment yet, and unless it makes an official announcement, there's no certain way to find out why exactly it's considering a sale.

As a market-leading publicly traded cybersecurity company, we remain focused on business transformation and customer expansion through our industry-leading AI platform." - Trend Micro spokesperson

Meanwhile, the company is already in talks with investment bankers to help with the process. Although no deal has been finalized, a private equity firm is reportedly interested.

About Trend Micro

Trend Micro was founded in 1988 to build computer content security and threat management solutions for both homes and businesses of all sizes. Its major partners include IBM, AWS, Capgemini, and Microsoft, among others.

Interestingly, the company's desire to sell seems to be a very recent and sudden thought because even in June this year, it announced that it would be using Nvidia's technology to create new AI-powered cybersecurity tools to protect data centers.

While many in the industry are claiming advancements in AI security, we are out showing business-critical use cases," Trend Micro CEO Eva Chen had said back then.

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