FireEye Closes $400 Million Strategic Investment Led by Blackstone

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MILPITAS, Calif.– FireEye, Inc. (NASDAQ: FEYE), the intelligence-led security company, today announced that the $400 million strategic investment led by funds managed by Blackstone Tactical Opportunities (“Blackstone”) has closed. Blackstone was joined by ClearSky, a cyber security-focused investment firm, as a co-investor in the transaction.

FireEye also announced that Viral Patel, a Senior Managing Director of Blackstone, and Art Coviello, former chief executive officer of RSA Security, have been appointed to the FireEye Board of Directors, effective immediately.

Viral Patel, a Senior Managing Director of Blackstone said, “We have confidence in FireEye’s long-term strategic vision and its world-class set of cyber security products and services. As a member of the Board of Directors, I look forward to partnering with management and my fellow board members to help drive the company’s future growth and build shareholder value.”

Art Coviello, former chief executive officer of RSA Security said, “FireEye and Mandiant are widely recognized for their threat intelligence and security expertise, and I am delighted to join the board. I look forward to working with Kevin and the FireEye leadership team to help them realize their vision of intelligence-driven security solutions for organizations of all sizes.”

“I am excited to welcome Viral and Art to FireEye as members of our Board of Directors,” said Kevin Mandia, FireEye chief executive officer. “Each brings a unique perspective on the dynamics of successful strategy and execution, and we look forward to their contributions as we pursue our transformation strategy and growth opportunities.”

Under the revised terms of their investment, Blackstone and ClearSky purchased 400,000 shares of FireEye’s newly designated 4.5% Series A Convertible Preferred Stock (the “Series A Preferred”), with a purchase price of $1,000 per share, for $400 million in the aggregate. The Series A Preferred will be convertible into shares of FireEye’s common stock at a conversion price of $17.25 per share, subject to certain customary adjustments. Additional information regarding the investment and the Series A Preferred were included in the Form 8-K previously filed by FireEye with the Securities and Exchange Commission on November 18th, 2020.

The securities offered in the private placement transaction have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements of the Securities Act and applicable state laws.