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Google to acquire cybersecurity firm at 65x revenue multiple

In a move that could mark its largest acquisition to date, Google is in advanced negotiations to acquire cybersecurity start-up Wiz for approximately $23 billion, according to a report from The Wall Street Journal, citing individuals familiar with the matter.

Founded in 2020, Wiz has rapidly established itself under the leadership of CEO Assaf Rappaport, reaching a valuation of $12 billion as recently as May. The company specializes in providing cloud security solutions that offer comprehensive insights into a company’s entire cloud infrastructure, a feature highly attractive to large firms with extensive computing resources.

You can read more on the matter here.

What’s going on?

• Canada’s Housing Starts Decline 9% In June (theDeepDive)

• RCMP has struggled to staff unit dedicated to protection of politicians, records show (Globe)

• Canada Sees CPI Come In At 2.7% In June (theDeepDive)

• Canadian auto thefts decline 17 per cent since January: data (CTV)

• How Did JD Vance, Who Once Called Trump “America’s Hitler” And An “Idiot,” Become His VP Pick? (theDeepDive)

• Gold heads for record high close on view that Fed is poised to cut rates (CNBC)

• Elon Musk Wants “A Very Public Battle In Court” Against EU Over Findings Against X (theDeepDive)

• Man who claimed to be inventor of bitcoin referred to UK prosecutors for alleged perjury (CNBC)

• Texas Court Decision Could Uncork Home Distilling in the US (theDeepDive)

• Elon Musk Has Said He Is Committing Around $45 Million a Month to a New Pro-Trump Super PAC (WSJ)

• Silver Shortage Explained: Mining, Demand, and Inflation (theDeepDive)

What’s the latest?

• Inflation: Canada’s annual inflation rate dropped to 2.7 per cent in June, primarily due to slower growth in gasoline prices, which rose 0.4 per cent compared to a 5.6 per cent increase in May, according to Statistics Canada. Excluding gasoline, the consumer price index rose by 2.8 per cent.

• Amazon Vs FTC: The U.S. Federal Trade Commission (FTC) has asked Amazon.com for more information about its deal to hire executives and researchers from AI startup Adept. This inquiry is part of the FTC's broader scrutiny of partnerships between Big Tech firms and AI startups. The FTC's concern centers on whether such deals might circumvent merger disclosure requirements.

• Gold Rally: Gold is rallying toward a record high, driven by growing expectations of U.S. Federal Reserve rate cuts and increased bets on a second Donald Trump presidency. Spot bullion rose 0.8 per cent to just below US$2,443 an ounce, approaching the record set in late May. Traders anticipate two quarter-point rate reductions this year, which traditionally benefits gold, a non-interest-bearing asset.

• Google EU Problems: Google offered a €470 million package to European cloud firms in a failed attempt to derail their antitrust settlement with Microsoft. The offer included €455 million worth of Google cloud software licenses over five years and €14 million in cash, conditional on maintaining the EU antitrust complaint against Microsoft.

• Russia Crude Exports: Russia's four-week average crude exports fell to their lowest since January, with a significant drop of about 570,000 barrels per day from their peak in April. In the week to July 14, 27 tankers loaded 20.8 million barrels of Russian crude, increasing daily flows to 2.97 million barrels, though the four-week average continued to decline to 3.11 million barrels, the lowest since January.

Gold's perfect storm: rate cuts in inflation

The stock market and stuff

• Google Moves to Acquire Cybersecurity Firm Wiz At 65x Revenue Multiple (theDeepDive)

• Rio Tinto hails another step closer to develop Serbian lithium mine (Reuters)

• Amazon Prime Day Sales Rise 13% in First Six Hours of Event (Bloomberg)

• SNDL To Cut 106 Jobs As Part Of Restructuring Effort (theDeepDive)

• Global News parent company Corus warns about its future (NP)

In the juniors

• Alaska Energy Metals Launches Drill Program At Canwell Prospect (theDeepDive)

• Plurilock Adds Former CrowdStrike Director To Advisory Council (theDeepDive)

• CanAlaska Hits 11.62% eU3O8 Over 9.3 Metres In Athabasca Basin (theDeepDive)

• G Mining: 4.7M Tons of Gold per Year in New Brazilian Operation (theDeepDive)

FULL DISCLOSURE: Plurilock Security is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of Plurilock Security. The author has been compensated to cover Plurilock Security on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.