The Bangalore, India-based professional services firm has not disclosed the financial details of the agreement. According to The Economic Times, Wipro will pay US$8.8 million for a 33% stake in Denim.
Under the deal, Wipro will sell Denim’s flagship ThreadFix platform to its customers as a means to mitigate cybersecurity risks. ThreadFix is designed to monitor and fix security vulnerabilities in applications that are still in development.
“This partnership will bring together Wipro’s strong digital transformation and cybersecurity capabilities with Denim Group’s application security consulting, assessments, and implementation services including DevSecOps and secure development training services,” Wipro stated in a press release.
Analysts say the agreement strengthens Wipro’s digital transformation services, helping the Indian firm embed security in software development methodologies such as Agile & DevOps.
“Collaborating with Wipro will greatly increase our reach, and help fulfill our mission of building a world where technology is trusted,” said John Dickson, Principal at Denim Group.
Founded in 2001, Denim has about 60 employees and offices in Austin and Dallas. It has reported US$11.3 million in revenue for 2017.
During the initial years of its existence, Denim was primarily a software development firm, but it switched its focus to cybersecurity in 2004, which it found far more lucrative and in high demand.
Once the deal is closed, Wipro will have seats on Denim’s managing board, but Denim will continue to operate separately and independently.