Data security company Cyera, which recently raised $600 million at a $12 billion valuation, announced Tuesday that it signed a letter of intent to acquire Oasis Security for approximately $1 billion in a deal expected to be paid mostly in cash, with the remainder in Cyera shares.

Oasis focuses on non-human identities, primarily AI agents. As the number of AI agents proliferates, companies must deploy cybersecurity software that monitors these agents’ behavior and grants them permission to access other software.

Founded in 2022, Oasis has raised about $195 million from Accel, Craft Ventures, Cyberstarts and other investors.

The deal highlights a surging market for cybersecurity providers defending enterprises against AI-weaponized threats.

Cyera, which shares investors Accel and Cyberstarts with Oasis, has been on an acquisition spree, recently purchasing Index Ventures-backed Ryft and the less-than-one-year-old Genie Security.

Post-acquisition, Cyera plans to integrate Oasis’s technology into a unified identity and data security platform.

Although Cyera recently surpassed $150 million in annual recurring revenue (ARR), the company is far from profitable, TechCrunch reported last month. The five-year-old company has raised about $2.3 billion in total funding.