Dell SecureWorks

SecureWorks specializes in information security (IS) assessment services for corporate computer systems, their vulnerability and risk of harm. As of December 2015, SecureWorks employs more than 2,400 people, and the number of customers is measured at 4,100. In 2011, the company was bought by Dell for $612 million.

2023:15% of employees laid off due to lack of money

On August 14, 2023, the American company Secureworks, specializing in information security solutions, announced a restructuring, during which the number of employees will decrease by about 15%.

In February 2023, Secureworks, which is majority owned by Dell Technologies, conducted the first round of staff cuts, affecting about 9% of staff. At the time, the number of full-time employees worldwide was said to be 2,149. Thus, about 190 workers were laid off. With these data in mind, a further 15% reduction in staff would result in a new job location being forced to look for approximately 300 people.

Secureworks announces restructuring

Secureworks previously stated that the restructuring will help focus efforts on priority areas, in particular, on the development of the Taegis platform. But the company continues to experience financial difficulties against the background of the crisis, the formed macroeconomic situation and in the context of a decrease in investments by corporate customers in the development of information infrastructures. Secureworks chief executive Wendy Thomas said there was a need to "simplify and scale the business and deliver profitable growth" over the long term. Thus, reducing the number of personnel is a necessary measure.

We continue to invest in business development in line with our strategic priorities, "Thomas said.

The next round of layoffs is scheduled to be completed by August 25, 2023. In connection with the reorganization, Secureworks will incur costs of approximately $14.2 million: the funds will go primarily to payments and compensation to employees, as well as to expenses related to real estate.^[1]

2020: Delve asset acquisition

On September 11, 2020, it became known that Secureworks, a former division, Dell acquired all the assets of a startup Delve platform developer to combat cyber vulnerabilities in corporate environments. More. here

2016

Joining Dell Technologies

As a result of the merger of Dell and EMC, RSA became part of the Dell Technologies group of companies.

Going public

On April 22, 2016, the controlled Dell company SecureWorks went public. This is the first IPO in the American IT sector in 2016.

As part of the initial public offering, SecureWorks sold 8 million securities at a price of $14 apiece, as a result of which the company was able to raise $112 million. Initially, it was planned to sell 9 million shares in the price range from $15.5 to $17.5.

SecureWorks goes public on Nasdaq

At the end of the first day, within the framework of a public company, the value of SecureWorks shares did not change compared to the beginning of trading and remained at $14. The company's market capitalization amounted to $1.1 billion.

Shares of SecureWorks are traded on the Nasdaq exchange under the ticker symbol SCWX. Underwriters in SecureWorks IPOs included Morgan Stanley, Goldman Sachs & Co., JP Morgan and Bank of America. The latter is the largest client of SecureWorks by April 2016: Bank of America brings Dell's subsidiary approximately 12% of revenue. SecureWorks intends to spend the funds raised as part of the IPO on the development of new products and possible acquisitions.

SecureWorks' entry into the stock exchange was the first IPO of an American technology company in 2016 and only the 13th in the United States, which is the lowest growth rate since the financial crisis in 2008, Bloomberg said.

At the same time, analysts believe that the placement of shares in SecureWorks will not necessarily lead to a massive IPO of "unicorns" (as technology companies are called in Silicon Valley, which have achieved an estimate of more than $1 billion without going public). The fact is that SecureWorks is already a mature, slowing growth company different from attractive fast-growing startups, explains Triton Research partner Kaylan Tildsley.

At the end of the fiscal year, closed on January 29, 2016, SecureWorks received a loss of $72.4 million with net revenue of $339.5 million, while a year earlier, cash losses were measured at $38 million, and sales - $262 million.^[2]

2015: Preparing for IPO

On December 17, 2015, Dell announced the listing of a subsidiary of SecureWorks. The funds that will be raised as part of the IPO should go to finance the merger deal with EMC.

According to Fortune, Dell has filed with the U.S. Securities and Exchange Commission (SEC) for an initial public offering of SecureWorks ordinary shares on the Nasdaq exchange under the ticker symbol SCWX. The number of securities sold and the value are not specified.

Dell announced the listing of a subsidiary of information security company SecureWorks

Dell only noted that it plans to raise $100 million, but this nominal amount is likely to change. According to sources from The Wall Street Journal, SecureWorks' business valuation could be about $2 billion.

SecureWorks IPO means the separation of the company from the main structure. This restructuring was first reported by the Atlanta Business Chronicle in July 2015.

According to official data released to the SEC, the majority of SecureWorks shares will remain with Denali Holding (Dell is included in this company), and Dell Chairman and CEO Michael Dell and Silver Lake managing partner (participated in the privatization of Dell in 2013) Egon Durban will join the SecureWorks board.

The timing of the placement of shares in SecureWorks is not named. It is known that among the underwriters of this IPO will be Morgan Stanley, Goldman Sachs, JPMorgan, Barclays Capital, Citigroup Global Markets and Bank of America. The latter company is SecureWorks' largest customer, with the bank accounting for 12% of SecureWorks' revenue in fiscal 2015.

The subsidiary's IPO will be part of Dell's plan to raise funds to reduce the debt burden that will arise after the $67 billion takeover of EMC. According to media reports, Dell is also going to sell several assets totaling about $10 billion. The merger with EMC is scheduled to close in May-October 2016.^[3]

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