Netezza Buys Tizor Systems for $3M
This isn’t the exit that investors in Tizor Systems were hoping for. The Maynard, MA-based startup, which says it raised $23.3 million in its last two rounds of financing, was sold last week to Netezza (NYSE:NZ) for $3.1 million in cash, according to a regulatory filing.
Tizor, which makes software to audit and guard information in data centers, was able to rally investors to chip in $8.3 million for its third round of financing announced a little more than a year ago. Yet the firm was apparently unable to support its operations without further money from investors, and now Marlborough, MA-based Netezza has acquired the company at a deep discount. (Of course, this deal isn’t an isolated incident, as Boston Globe columnist Scott Kirsner writes in this column published last week about the rash of fire sales in the local tech sector.)
“The enterprise data auditing and protection market is expected to grow significantly in the next couple of years,” says Jim Baum, president and CEO of Netezza, in a statement. “By acquiring Tizor, we will be able to offer our customers ‘best-in-class’ data auditing products that align very well with our enterprise offering.”
Netezza says that the buyout will enhance its customers’ ability do forensic analysis of data and to comply with regulatory requirements. Wade recently drilled down into the details of how Netezza’s data warehouse appliances help business managers sift through years of historical data.
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