ServiceNow Shares Drop Amid Reports of $7 Billion Armis Acquisition Talks
Shares of ServiceNow fell sharply on Monday after reports emerged that the company is in advanced talks to acquire cybersecurity startup Armis for about $7 billion.
According to multiple sources, the potential deal could be announced soon and would be the largest acquisition in ServiceNow's history. Armis had reportedly been preparing for an initial public offering before these discussions.
The stock decline also reflects investor concerns about ServiceNow becoming more aggressive with acquisitions as it seeks to boost its growth.
Neither ServiceNow nor Armis has publicly confirmed the reported negotiations.
The stock fell after reports that the company is considering its largest-ever acquisition, which raised concerns among investors about spending and future growth strategy.
Armis is a cybersecurity company that specializes in protecting devices connected to the Internet, including those used in workplaces and industry.
No, both ServiceNow and Armis have not officially confirmed that an agreement has been reached.
ServiceNow may be interested in enhancing its security offerings by adding Armis' cybersecurity solutions, although this has not been officially stated by either company.
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