VersaBank buys London cybersecurity firm, eyes stronger online safeguards
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London’s home-grown commercial bank has snapped up a local cybersecurity business.
VersaBank, formerly Pacific and Western Bank of Canada, has bought Digital Boundary Group, a business that helps businesses protect their online presence from hackers.
“It is important we bolster our cybersecurity. We always have to be on guard,” said VersaBank chief executive David Taylor.
“Digital Boundary Group has a reputation across North America and further. They are a very important cybersecurity firm and its knowledge is really good to have.”
VersaBank owns Washington-based DRT Cyber. Digital Boundary will work with the U.S. firm to offer security services, Taylor said.
“They are very complementary businesses. They will keep digital assets super safe.”
While Digital Boundary Group identifies and assesses the security needs a business may have, DRT Cyber offers software solutions to address that need.
But Digital Boundary Group, which employs about 50 people, will remain in London as a separate entity and its existing partners will stay on and run the business, and grow it, Taylor said.
“It will be a distinct brand as part of a cyber group. I think we will be adding to the (staff) complement there. They are growing rapidly.”
Digital Boundary has seen yearly average sales growth of about 10 per cent.
“They are extremely well respected. Its customers are a who’s who across North America, although they can’t advertise that. London should be very proud.”
The London firm also has an office in Dallas, Tex.
Its clients run the gamut from governments in the U.S. and Canada to entertainment, law enforcement, health care, financial services, gaming and manufacturing.
“This could be yet another win for London. If this grows the business here, that would be wonderful,” said Brian Foster, partner in the RH Accelerator, an agency that helps London technology businesses grow.
“This is yet another example of the success London is having, a sign of great momentum. Digital Boundary Group has been a gem in the city.”
In addition to announcing the purchase of Digital Boundary Group, VersaBank filed its fourth-quarter report. Assets under administration on Oct. 31 were $1.94 billion, a nine per cent increase over year-end last year.
Annual revenue was $54.2 million, up one per cent from $53.9 million in 2019.
In addition, the bank has $420 million in cash, “to be ready if anything interesting happens,” Taylor said.
“We sailed through this (the pandemic) unscathed.”
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