Relay Medical Corporation has completed the acquisition of an Internet of Things (IoT) cybersecurity firm based in Toronto, Canada.
The completion of the deal to acquire Cybeats Technologies Inc was announced yesterday, just 20 days after news of the transaction was published.
Cybeats was founded in 2016 by Peter Pinsker, Dmitry Raidman, and Vladislav Kharbash. The company is known for developing an integrated security platform that is designed to secure and safeguard high-value connected IoT devices.
Cybeats’ solution can eliminate malicious code in seconds without affecting the normal operation of the infected IoT device.
Relay acquired all the issued and outstanding shares of Cybeats for $7,180,000, making a cash payment of $500k.
Under the deal, Cybeats has become a wholly owned subsidiary of Relay and has placed all its technologies, trade secrets, and intellectual property into Relay’s care.
Relay Medical Corp. CEO Yoav Raiter said that the acquisition was well timed to take advantage of the booming IoT market.
He said: “The IDC report predicts there to be over 55 billion connected devices by 2025. The global IoT market is growing in an unprecedented way which has left a crucial delta in the cybersecurity of over 20 billion devices worldwide.
“With this acquisition I believe we are well prepared to address this opportunity, as we already have first-hand experience of applying the value proposition to our own devices."
CTO of Cybeats Technologies Inc., Dmitry Raidman, said that the cybersecurity of IoT devices is under constant threat.
He said: "Connected devices became a lucrative target for attackers. We learn on a daily basis about a new type of attack or a new vulnerability exploited in the field and affecting billions of connected things.”
Raidman said that the security of IoT devices had been impacted by the outbreak of Covid-19.
“There is an endless battle between cybersecurity defenders and attackers,” said Raidman.
“The transition to working from home and the dependency on smart and remote functionality required for controlling various systems only worsens the problem.”
Relay revealed plans to target several connected devices OEM and ODM companies in sectors such as aerospace, energy, oil & gas, critical infrastructure, and medical.