IonQ agrees to buy Elisity for up to 1.3 billion dollars in shares
IonQ has signed an all-stock agreement to acquire network-security company Elisity. The price can reach 1.3 billion dollars, including a performance-linked payment. The quantum technology company plans to combine identity-based access controls with its secure communications products. Regulatory approvals and customary conditions still apply, with completion expected in the final quarter.
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A share-funded deal with a conditional payment
Quantum technology company IonQ signed an agreement to acquire enterprise network-security developer Elisity on 12 October. The transaction is payable entirely in IonQ shares and can reach 1.3 billion dollars. Up to 150 million dollars of that amount depends on Elisity’s business performance. IonQ expects completion in the final quarter, subject to regulatory approvals and customary conditions.[1], [2]
The share count is to be calculated at completion using a volume-weighted average over 20 trading days. That period excludes the third business day before completion and ends before it. The price used for the calculation has a floor of 33.07 dollars and a ceiling of 49.61 dollars. These limits are part of the agreed payment structure.[1], [2]
Elisity assigns access through identity
Founded in 2019, Elisity develops software that controls which users, devices, workloads and AI agents can communicate across enterprise networks. Its least-privilege policies are designed to grant each identity only the access it needs. Under this zero-trust approach, being inside the network does not automatically grant permission to reach every other system.[1], [2]
The company’s IdentityGraph component combines identity, asset and risk information to guide those decisions. Its software enforces policies independently of the underlying network technology, and teams can simulate a policy before applying it. IonQ says Elisity has deployments in more than 100 customer environments. SecurityWeek puts the startup’s funding raised to date above 70 million dollars.[1], [2]
Security products and customer relationships are to be combined
IonQ intends to combine Elisity’s access controls with post-quantum cryptography, quantum key distribution and quantum networking. The companies plan to add cryptographic inventory and risk information to IdentityGraph. They aim to help organisations prioritise cryptographic upgrades according to business risk and the importance of the systems involved, while continuing to protect their existing networks.[1], [2]
Elisity chief executive James Winebrenner and the existing management team are to continue leading the business after completion. IonQ also plans to use Elisity’s enterprise customer relationships and links with information-security executives to sell its quantum security and computing products. Healthcare, pharmaceutical and manufacturing businesses are among the customer groups identified by the company.[1], [2]
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