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Cye Launches Center of Excellence for Private Equity to Accelerate Cybersecurity Resilience Across Their Portfolios

Reported by Morningstar
Sep 8, 2026· 3 min read
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Key Takeaways
  • • Cye launched a Center of Excellence for Private Equity combining expert-led agentic services with its AI-native platform to manage cybersecurity across portfolio companies from due diligence through exit, addressing the fragmented point-in-time assessment model that leaves PE firms without portfolio-wide visibility.
  • • Private equity firms and their portfolio companies face elevated cyber risk due to concentrated capital, sensitive deal data, interconnected third-party providers, and shared services that create "blast-radius impact" opportunities for attackers seeking to disrupt transactions and steal information.
  • • Cye's new operating model enables PE firms to document, measure, and track cyber maturity and risk consistently across portfolios throughout the holding period, positioning cybersecurity as a measurable value driver and competitive advantage rather than a compliance cost center.
  • • The solution addresses a critical market gap: cybersecurity has traditionally been managed through isolated assessments at individual portfolio companies, leaving PE firms without organizational exposure visibility or structured cyber resilience improvement frameworks across their holdings.
  • • CEO Reuven Aronashvili framed the offering as transforming cybersecurity into "a powerful lever for creating enterprise value" capable of protecting investments and increasing acquisition multiples—shifting the financial narrative from risk mitigation to value creation.
Summary
Cye, a cyber exposure management platform, announced the launch of its Center of Excellence for Private Equity on September 8, 2026, introducing a new operating model designed to help private equity firms assess, manage, and reduce cyber exposure across their portfolios throughout the complete investment lifecycle. The initiative combines expert-led agentic services with Cye's AI-native platform to provide PE firms with standardized cybersecurity assessment and management capabilities spanning due diligence, active holding periods, and exit preparation.

The timing reflects an intensifying recognition within the private equity sector that cybersecurity has evolved beyond a regulatory compliance exercise. Private equity firms and their portfolio companies have become high-value operational targets for threat actors seeking to exploit concentrated capital, sensitive deal data, and interconnected third-party relationships. These interconnected ecosystems create particular vulnerability, as attackers can exploit shared services across multiple portfolio companies to achieve what Cye characterizes as "blast-radius impact"—disrupting transactions, stealing proprietary information, and leveraging portfolio company relationships to compromise broader investment theses.

The critical market inefficiency that Cye's offering addresses is the pervasive fragmentation in how cybersecurity is currently managed within PE portfolios. Traditionally, cybersecurity assessments occur on a point-in-time basis at individual portfolio companies, leaving PE firms without a consistent, aggregated view of their total cyber exposure, organizational risk posture, or structured improvement trajectories across their holdings. Cye's platform enables standardized documentation, measurement, and tracking of cyber maturity and risk across entire portfolios, providing the portfolio-level visibility that operating partners and Chief Information Security Officers require to prioritize remediation efforts and manage aggregate exposure effectively.

Reuven Aronashvili, CEO of Cye, reframed the value proposition in distinctly financial terms: "Cybersecurity is becoming a powerful lever for creating enterprise value—not just a cost center to manage." This positioning aligns with broader institutional investor trends recognizing that proactive cyber resilience can protect deal economics, reduce downside risk, and increase acquisition multiples at exit. By treating cybersecurity as a measurable, portfolio-wide lever for value creation rather than isolated risk management, PE firms can integrate cyber resilience into their operational improvement strategies and investment thesis validation processes.

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Sources

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Morningstar Cye Launches Center of Excellence for Private Equity to Accelerate Cybersecurity Resilience Across Their Portfolios