Indian automotive integration and services company KPIT has announced the acquisition of Israeli startup Cymotive, founded by former General Security Chief Yuval Diskin.
The deal involves several stages. At the first stage, an investment of $10 million will be made in exchange for 26% of the company’s shares. Then it is planned to buy out the remaining stake until mid-2029.
If the acquiring company decides to acquire the remaining stake, the final amount of the transaction will depend on Cymotive’s revenue and EBITDA, KPIT reports. Thus, the total payout could range from $60 to $120 million, including the initial investment round.
Cymotive, created in conjunction with Volkswagen’s software division, provides cybersecurity solutions for a variety of vehicle models; these include secure architecture, threat modeling, intrusion detection, continuous monitoring and local regulatory compliance.