Google's Wiz acquisition closes: Sequoia set for $3B return, ~25x MOIC
Mar 19, 2025
Key Points
- Google closes its $32 billion acquisition of Wiz, delivering Sequoia Capital roughly $3 billion on a 25x multiple from its 10% stake in the cybersecurity startup.
- Wiz reached $200 million in ARR before the sale, giving founders optionality to pursue public markets or other acquirers rather than accept the first offer.
- The deal shores up Sequoia's track record in a competitive category, though a single exit at this scale is routine for a multi-stage allocator.
Summary
Google's acquisition of Wiz closed this week. Sequoia Capital's 10% stake returned roughly $3 billion on a 25x multiple of invested capital. The deal valued Wiz at $32 billion in cash.
Sequoia partner Shaun Maguire announced the exit on social media. For a multi-stage allocator like Sequoia, missing a $32 billion exit in a hot category would have been conspicuous. The firm had spent years deploying capital across its portfolio, and this win validates that track record. At Sequoia's scale, a single exit is routine rather than exceptional, but exits at this valuation still matter.
Wiz reached roughly $200 million in ARR before the sale, so the company did not need to exit. The founders had optionality: they could have gone public, sought other acquirers, or kept building. A business generating real revenue rather than one optimizing for a sale had leverage to command a premium price and multiple exit paths.