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Verint Systems in talks to buy Israeli cyberintelligence firm, reports say

Verint Systems said it will spend almost $65

Verint Systems said it will spend almost $65 million to acquire Foresee. Credit: Steve Pfost

Verint Systems Inc., one of Long Island’s 10 largest public companies based on revenue, is in talks to acquire an Israeli cyberintelligence company for about $1 billion, according to media reports.

The Wall Street Journal and Reuters, citing unnamed sources, said that Melville-based Verint is in talks to buy NSO Group, which provides software used for surveillance by government agencies.

A Verint spokeswoman did not respond to an email seeking comment Tuesday.

Verint’s largest business unit, accounting for about 65 percent of revenue, provides software used in corporate call centers. Its cyberintelligence software is used by government intelligence and law enforcement agencies.

The Wall Street Journal reported Monday that Verint made the offer to Francisco Partners, a San Francisco-based private equity firm that owns a controlling stake in NSO. A spokeswoman for Francisco Partners declined comment.

Shares of Verint fell 4.7 percent on Tuesday to close at $42. The company’s shares traded at $41.15 12 months ago.

The company posted a net loss of $3.5 million on revenue of $1.1 billion in the fiscal year ended Jan. 31.

Software from NSO has been used by foreign governments to spy on their own citizens, The Wall Street Journal has reported. NSO told the paper at the time of the story that the company doesn’t operate its systems, and that it requires customers to use them lawfully “for the prevention and investigation of crimes.”


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