CA is to acquire NetQoS in a $200 million all-cash transaction.
The acquisition of NetQoS, a provider of network performance management and service delivery solutions, will see NetQoS CEO Joel Trammell join CA as senior vice president and general manager. Cathy Fulton, NetQos' CTO and executive vice president of products will be appointed as senior vice president, software engineering.
CA claimed that initially, NetQoS will operate as an independent entity within CA's infrastructure management and automation business unit and will report to CA's executive vice president of products and technology group Ajei Gopal. It is anticipated that a majority of NetQoS' 250 employees will remain with CA.
The all-cash transaction is expected to be slightly dilutive in fiscal 2010 on CA's non-GAAP and GAAP earnings per share. The acquisition is expected to be completed by the end of the calendar year, pending regulatory approvals.
Gopal said: “With the addition of the NetQoS network flow monitoring, unified communications management and response time analytic network solutions, CA will further strengthen its ability to help enterprise IT organisations and service providers deliver reliable, flexible and cost-effective IT and business services.”
Trammell said: “NetQoS customers and partners will benefit from CA's extraordinary development capabilities, outstanding sales force, and global customer support infrastructure. NetQoS' solutions will strengthen CA's ability to deliver to its customers service-centric insight into network, systems and application performance - with no visibility gaps.”