Palo Alto Networks (Nasdaq: PANW) has announced it has signed a definitive agreement to acquire Israeli endpoint security company Koi Security. No financial details were disclosed but estimates are that Palo Alto will pay $400 million for the company. "Globes" revealed last month that the acquisition was imminent.
The announcement comes less than a week after Palo Alto completed the $25 billion acquisition of Israeli identity security company CyberArk (Nasdaq: CYBR) and said it would dual list on the Tel Aviv Stock Exchange (TASE).
Koi has raised only $48 million over two rounds, according to PitchBook, and among the biggest beneficiaries from the acquisition will be the company’s founders - CEO Amit Assaraf, CTO Idan Dardikman and CPO Itay Kruk, alongside the company's main investors: Battery Ventures, Gigi Levy-Weiss' NFX, Team8, and Picture Capital, and the venture capital fund of cybersecurity industry executives - Dan Amiga, Mike Fey, Mickey Bodai and Rakesh Loonkar - whose activities were first reported by "Globes."
Over the past two years, Assaraf, Dardikman and Kruk have developed a software engine that uses large language models (LLM) and AI agents to detect malware and vulnerabilities in applications and extensions that can be downloaded by software developers and organizations, thereby helping to detect vulnerabilities in applications and prevent them from spreading to computers in the organization. Among other things, Koi's engine scans application and extension stores such as Microsoft's Visual Studio (VSCode Marketplace), Microsoft's Edge, the Chrome store (Google), the Firefox store, NPM and Homebrew.
Assaraf said, "We founded Koi to secure the next frontier of risk. In an agentic-first world, traditional solutions are blind. Joining forces with Palo Alto Networks will allow us to scale our technology to the world's largest organizations, delivering protection that makes work on the modern AI-native endpoint secure by design."
Palo Alto Networks CPO and CTO Lee Klarich added, "AI agents and tools are the ultimate insiders. They have full access to your systems and data, but operate entirely outside the view of traditional security controls. By acquiring Koi, we will be closing this gap and setting a new standard for endpoint security. We will give our customers the visibility and control required to safely harness the power of AI-ensuring that every agent, plugin, and script is governed, verified, and secure."
Published by Globes, Israel business news - en.globes.co.il - on February 17, 2026.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2026.
