IonQ to Buy Cybersecurity Firm Elisity in All-Stock Deal Worth Up to $1.3 Billion

What happened

IonQ announced on October 12 that it has agreed to acquire Elisity. IonQ said the acquisition would give it expanded channels to bring its quantum offerings to enterprise and government customers, helping them deal with current threats and prepare for attacks from future quantum computers.

Elisity, founded in 2019, works on zero-trust network security. IonQ said Elisity has more than 100 customer deployments worldwide and has doubled its revenue and customer base year over year. Elisity CEO James Winebrenner will continue to lead the business after the deal closes. IonQ CEO Niccolo de Masi said the point at which quantum computers can break widely used encryption is coming much faster than predicted.

Earlier this year, IonQ completed its acquisition of chipmaker SkyWater Technology, bringing semiconductor manufacturing in-house to support development of its next-generation quantum processors.

Key facts

1. Deal structure: An all-stock transaction valued at up to $1.3 billion, including up to $150 million in earn-outs tied to Elisity's performance.
2. Pricing range: The number of IonQ shares to be issued will be calculated at a price between $33.07 and $49.61 per share.
3. Timeline: The transaction is expected to close in the fourth quarter of 2026, subject to regulatory approval and customary conditions.
4. Target: Elisity was founded in 2019, has more than 100 customer deployments worldwide, and doubled revenue and customers year over year, according to IonQ.