Venture-backed Silver Peak is said to explore US$1b sale

[NEW YORK] Silver Peak Systems, a networking company backed by venture capital firms Greylock Partners and TCV, is exploring a potential sale that could value it around US$1 billion, according to people familiar with the matter.

The Santa Clara, California-based company is working with a financial adviser, the people said, asking not to be named because the matter is private. The company could appeal to publicly traded technology firms that have networking businesses, the people said.

No plans are final and it could opt to remain independent, the people said.

A representative for TCV declined to comment. Representatives for Silver Peak and Greylock didn't immediately respond to requests for comment.

Silver Peak, founded in 2004, helps its customers juggle the public internet with their infrastructure and cloud computing services provided by companies such as Amazon.com Inc. It makes products in so-called software-defined networking in a wide area network, a relatively new approach to controlling the way data moves around the internet.

Competitors in this area include Cisco Systems, Arista Networks, Hewlett Packard Enterprise and Citrix Systems.

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TCV invested US$90 million in Silver Peak in 2018, according to a press release. The company has raised more than US$200 million since its founding, according to PitchBook.

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