Changes are coming to Symantec Corp.
The Calif.-based cyber security company has announced it will be selling its web security and public key infrastructure (PKI) solutions business to DigiCert Inc. for $950 million (USD) in cash and a 30 per cent equity stake in DigiCert.
The transaction has been unanimously approved by Symantec’s board of directors and is expected to be completed in the third quarter of fiscal 2018, pending closing conditions.
Symantec explains that the move will allow it to continue to focus on its integrated cyber defence platform and accelerate the pace of innovation in the market. CEO Greg Clark says he is “thrilled” about the transaction and is “deeply committed” to its success.
“Transitioning our Website Security and related PKI solutions to DigiCert allows us to sharpen our enterprise focus on delivering unparalleled protection for the cloud generation through Symantec’s Integrated Cyber Defense Platform,” continues Clark in an Aug. 2 press release. “As our recently announced deals with Fireglass and Skycure demonstrate, we are accelerating the pace of innovation we bring to market through a combination of acquisitions as well as development from the ground up.”
DigiCert, a provider of scalable identity and encryption solutions for the enterprise, is majority owned by private equity firm Thoma Bravo and offers a broad range of security products for web services and Internet of Things devices.
DigiCert CEO John Merrill says he is looking forward to finalizing the acquisition, and is assembling “the best team in the industry to help us deliver even better security solutions and service to our customers.”
“DigiCert is committed to providing the market with innovative products, the highest level of trust, and experienced leadership in the SSL and PKI community,” Merrill expands. “We are excited about the opportunities ahead, and will work toward a smooth transition for customers and employees of Symantec’s Website Security business.”
DigiCert will continue to be led by Merrill, the company confirms. It also adds that “given the shared commitment to customer service, existing Symantec Website Security customers will be able to transition to a new platform that meets all industry standards and browser requirements and provides the foundation for future innovation in the Certificate Authority space for the benefit of customers.”
Robert Sayle, a partner at Thoma Bravo, which has backed DigiCert since 2015, says that with this transaction, “DigiCert expands its incredible talent and experience to lead the next generation of global website security. We are excited to support this enhanced company as it serves its customers and pursues opportunities for innovation and growth.”