MINNEAPOLIS–(BUSINESS WIRE)–Code42 Software, Inc., the Insider Risk Management (IRM) leader, today announced that it has closed a transaction with Mill Point Capital to spin off its CrashPlan business. The new entity, to be known as CrashPlan Group (CPG), includes more than 100 employees, all CrashPlan solutions and CrashPlan customers. Code42 will use the proceeds of the transaction to accelerate the growth of the Code42 Incydr™ product and the Code42 Instructor™ microlearning solution, and further develop its team domestically and internationally.
“With today’s news, the future for both Code42 and CrashPlan Group has never looked brighter. Code42 will direct all of its focus and resources on the rapidly developing Insider Risk Management market,” said Joe Payne, president and CEO of Code42. “We’re fully confident that this transaction will bring benefits to all of our customers, with both Incydr and CrashPlan receiving additional capital, focus and innovation as a result of this transaction.”
Code42 will focus 100% of its attention on the cybersecurity market. Code42 has played a defining role in developing the vision and requirements for Insider Risk Management – a new security market now recognized by Gartner, IDC and Forrester – and is a founding member of the annual Insider Risk Summit and Insider Risk Community. Code42 offers the industry’s most comprehensive set of technologies, controls, integrations and services designed to address Insider Risk.
Code42 Incydr is a SaaS product that allows security teams to effectively mitigate data exposure and exfiltration risks without disrupting legitimate collaboration. Incydr is purpose-built to help security teams effectively manage the dynamic nature of Insider Risk – which includes prioritizing and responding appropriately to the risks that matter the most. It surfaces the top indicators of Insider Risk and gathers detailed security intelligence about file movements to trusted and untrusted locations.
Code42 Instructor is an employee security education microlearning video solution, tailor-made to reduce Insider Risk. From proactive organization-wide and department-level lessons to situation-specific persona and technology lessons and responsive user-specific lessons triggered by user activity, Instructor provides what is needed to truly change user behavior and reduce Insider Risk.
Under the terms of the agreement, Code42 and CrashPlan have agreed not to compete with each other in their respective markets. Code42 was supported during the transaction by Goodwin Proctor and Grant Thornton.
“The team leaving us today is truly excellent in every way and we will feel their absence – not just as colleagues, but as friends. The CrashPlan organization is filled with innovators, community leaders and people that care deeply about the success of their customers. CrashPlan has been an integral part of the Code42 story and I am incredibly grateful for the teams and customers who made it a success. We expect to see great things from the CrashPlan team in the future,” concluded Payne.
About Mill Point Capital
Mill Point Capital LLC is an operationally-oriented private equity firm targeting control investments in lower-middle market companies, with a focus on industrials, business services and IT services sectors in North America. Mill Point’s experienced team of investors and Executive Partners seek portfolio company value enhancement through rigorous implementation of transformative strategic initiatives and operational improvements. Mill Point is based in New York, NY. For more information, please visit www.millpoint.com.
Code42 is the leader in Insider Risk Management (IRM), offering end-to-end data loss detection and response solutions. The Code42® Incydr™ product is native to the cloud and rapidly detects data exposure, loss, leak and theft as well as speeds incident response – all without lengthy deployments, complex policy management or blocking employee productivity. Accelerating the effectiveness of Insider Risk programs are the Code42® Instructor™ microlearning solution, and Code42’s full suite of advisory services.
With Code42, security professionals can protect corporate data and reduce insider risk while fostering an open and collaborative culture for employees. Designed to meet regulatory control requirements, Code42’s IRM solution is FEDRAMP authorized and can be configured for GDPR, HIPAA, PCI and other compliance frameworks. Innovative organizations, including the fastest-growing security companies, rely on Code42 to safeguard their ideas. Founded in 2001, the company is headquartered in Minneapolis, Minnesota, and backed by Accel Partners, JMI Equity, NewView and Split Rock Partners. Code42 has played a defining role in developing a vision and requirements for the IRM category – now recognized by Gartner, IDC and Forrester – and is a founding member of the annual Insider Risk Summit and Insider Risk Community.
The company has several offices across the United States as well as an international office in London. Code42’s clients include large multinational organizations, such as Crowdstrike, Exabeam, BAYADA Home Health Care, Juniper Networks, Lending Club, MacDonald-Miller, MACOM, North Highland, Ping Identity, Shape Technologies, Snowflake, University of Georgia, User Testing, UTEX and Xactly.