Datavault AI to Acquire Cybersecurity Compliance Firm CyberCatch in $94.5 Million All Cash Deal

Datavault AI, listed on Nasdaq under the ticker DVLT, has signed a definitive agreement to acquire 100 percent of CyberCatch Holdings in an all-cash transaction valued at $94.5 million, or $3.53 per share. The deal replaces an earlier all-stock proposal from May 2026, which would have issued close to 49.9 million Datavault shares instead of cash.

CyberCatch, based in San Diego, California, provides a patented, AI-enabled platform for continuous cybersecurity compliance and cyber risk mitigation. Under the agreement, structured as a court-approved plan of arrangement under the Business Corporations Act of British Columbia, CyberCatch shareholders will be paid out in cash for their holdings, while outstanding stock options will be settled on a cashless basis. Datavault AI has also extended a $500,000 bridge loan to CyberCatch to cover transactional and operating costs while the deal moves toward closing.

Once the transaction completes, subject to shareholder, court, regulatory and stock exchange approval, CyberCatch will continue operating from San Diego as a subsidiary of Datavault AI. Sai Huda, CyberCatch's founder, chairman and chief executive, will lead the subsidiary as president, reporting to Datavault AI chief executive Nathaniel T. Bradley. A management information circular detailing the full terms is expected in early September 2026.

The strategic logic behind the acquisition centres on integration. Datavault AI intends to fold CyberCatch's compliance and risk mitigation technology into its existing DataValue, DataScore and Information Data Exchange offerings, running across its Quantum Private Network and SanQtum edge infrastructure. CyberCatch's multi-authority attribute-based encryption technology, acquired in February 2026, is also expected to be converted to post-quantum cryptography as part of the integration, positioning the combined platform for organisations that will eventually need to migrate away from encryption standards vulnerable to future quantum computing.

The combined offering is being pitched at regulated industries that must continuously demonstrate compliance with frameworks including the NIST Cybersecurity Framework, CMMC, ISO 27001, SOC 2, HIPAA and PCI DSS, standards that govern procurement, audit cycles and contract renewals across finance, healthcare and government supply chains in the United States.

Why this matters beyond the US market is worth spelling out for GCC and MENA buyers. Continuous compliance platforms of this type are increasingly relevant to Gulf enterprises too, particularly as regional regulators tighten expectations around data governance and as procurement teams lean more heavily on SaaS based compliance tooling rather than manual audit cycles. The consolidation of a dedicated compliance vendor into a larger AI and data infrastructure company also reflects a wider pattern GCC buyers are likely to see more of: cybersecurity compliance increasingly sold as a layer within broader AI and data platforms rather than as a standalone product. For enterprises in the region evaluating vendors, this deal is a useful signal of where the compliance technology market is consolidating, and which capabilities are being bundled together by the platforms most likely to expand internationally next.

The transaction has not yet closed, and completion remains contingent on the approvals outlined above. Datavault AI has stated it expects the deal to close following the shareholder vote once the management information circular is issued.