Palo Alto Networks is in talks to acquire Israeli startup Clutch Security for about US$500 million, according to The Information. Clutch builds software that tracks and secures credentials used by AI agents. A final deal has not been announced.
Negotiation status
The discussions are ongoing and may not lead to a transaction. Palo Alto Networks declined to comment, calling the report rumor or speculation. Clutch did not immediately respond to a request for comment.
Company background
Clutch was founded in late 2023 by Ofir Har-Chen, Sagi Haas, and Tal Kimhi. It raised a US$8.5 million Seed round in July 2024 and a US$20 million Series A in January 2025. Backers include Lightspeed, SignalFire, and Merlin Ventures.
What Clutch does
The platform maps non-human identities such as API keys, service accounts, tokens, and passwords. It identifies excessive or exposed permissions and manages credentials across their lifecycle. It also detects suspicious activity and applies those controls to AI agents.
Palo Alto completed its US$25 billion acquisition of CyberArk earlier this year. CyberArk mostly secures access for people, while Clutch covers credentials used by software and AI agents. A purchase would broaden that identity security work.
Read more: theinformation.com