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- Climb's M&A Weekly: Apollo, SentinelOne, and DataSite all feature
Climb's M&A Weekly: Apollo, SentinelOne, and DataSite all feature
Apollo purchases Trace3 and SentinelOne acquires Prompt Security
Climb Advisors Weekly
August 17, 2025
Welcome back to the Climb Advisors weekly newsletter with five deals from across the B2B tech landscape.
Climb Advisors focuses on sell-side advisory for B2B Software and services companies generating $5m-$15m in revenue. We also advise on credit solutions for companies of the same profile & in select cases engage in retained buy-side processes for quality buyers. We love to talk markets and make introductions - please don’t hesitate to reach out if you’re a founder or investor looking to transact.
SentinelOne acquires Prompt Security from Jump Capital
Overview: SentinelOne, an AI-native cybersecurity company, purchases Prompt Security, a SaaS security platform that protects against AI-powered threats. Prompt Security allows organizations to gain visibility into GenAI usage throughout their organization. Prompt Security also allows an organization to control employee usage of AI and eliminate shadow AI risks. While not confirmed, the deal is rumored to be for between $250-$300 million. Read more here.
Climb Comment: This deal is ~5x Prompt’s valuation in November 2024 of $60 million showing the massive jump in valuations recently for AI and cybersecurity companies. Prompt Security’s solution monitors AI activity in real time and blocks prompts before they compromise sensitive data. This deal fits nicely into SentinelOne’s strategy of extending its AI-native, Singularity Platform, to secure the growing use of GenAI and agentic AI in the workplace. As these capabilities become more common in companies' workflows, the area that cyber threats can attack is expanding rapidly.
DataSite, backed by CapVest Partners, acquires Sourcescrub
Overview: DataSite, a provider of AI-powered workflow collaboration and automation solutions for M&A, acquires Sourcescrub, a deal sourcing and intelligence platform used by PE firms, investment banks, and corporate development teams. Sourcescrub aggregates over 220,000 sources and tracks more than 16 million companies and was formerly backed by Francisco Partners. Read more here.
Climb Comment: This acquisition comes on the heels of a $500 million investment from CapVest Partners in DataSite. Sourcescrub expands DataSite’s capabilities outside of transaction execution and into the earlier stages of the deal lifecycle. DataSite plans to integrate Sourcescrub’s capabilities into its Grata platform. The Grata platform is used by over 19 million private companies and is powered by proprietary search infrastructure and AI-native discovery tools. By combining these two platforms, DataSite aims to offer an end-to-end workflow from sourcing to diligence to the close of the deal.
HG Insights, backed by Riverwood Capital Investors, purchases Madkudu
Overview: HG Insights, a market intelligence platform, purchases MadKudu, a predictive lead scoring and customer analytics company. MadKudu uses AI and machine learning to help sales and marketing teams identify and prioritize the highest-converting prospects. This deal begins the roll out of HG Insights’ agentic AI strategy with new copilots and and agents now available after the deal. Read more here.
Climb Comment: This acquisition brings MadKudu into HG Insights’ revenue growth journey, next to TrustRadius. The deal strengthens HG Insights’ position in sales enablement by combining its firmographic and technographic datasets with MadKudu’s predictive AI analytics. By integrating the two platforms, firms will prioritize the correct accounts and have an easier time tracking ROI.
Schneider Geospatial buys Full Circle Technologies, a permitting and license software company
Overview: Schneider Geospatial, a provider of public sector software solutions, acquires Full Circle Technologies, a permitting and licensing platform for state and local governments. Full Circle Technologies allows municipalities to digitally manage permits, inspections, licenses, among other things. Schneider Geospatial is backed by Align Capital Partners. Read more here.
Climb Comment: This is Schneider’s fifth acquisition since Align bought the company in 2022. The acquisition enhances Schneider’s government capabilities, particularly in automating licensing, inspection, and permitting processes. Full Circle Technologies’ cloud-based application, PermitEyes, allows governments to receive applications, payments, conduct inspections, and issue permits, all electronically. The platform will be integrated into Schneider’s existing suite of GIS and civic management tools.
Apollo acquires Trace3, a digital and IT services provider, from American Securities
Overview: Apollo Global Management buys Trace3, a provider of digital, cloud, AI, and security services, from American Securities. American Securities will retain a significant minority interest in the company. Trace3 was founded in 2002 and works with more than 3,500 enterprise and mid-market clients and has grown significantly through organic expansion and acquisitions since its founding. Read more here.
Climb Comment: Trace3’s solutions span cloud, AI, data center, and cybersecurity. All of these offerings are projected to see much increased demand over the coming years. Apollo plans to leverage Trace3’s technical expertise to expand its service offerings and pursue strategic M&A. With enterprise capex on cloud infrastructure, security, and AI expected to continue rising, Apollo sees a significant runway for growth in all of the spaces in which Trace3 operates.
Article of the week
The article this week is the Q2 Commentary from Horizon Kinetics, which is always a fantastic read, and this quarter has a somewhat different write up at the end about Japan Elevator Service Holdings.
Thanks for following along & hope you found something useful or interesting. Please don’t hesitate to reach out if you’re considering a sale this year - we’re always glad to chat & share perspective.
All the best,
Nick