Blue Coat is to be acquired by private equity investment firm Thoma Bravo for around $1.3bn (£830m).
The private equity firm, which acquired Tripwire in May, has entered into a definitive agreement to buy Blue Coat, with the security vendor's board of directors approving the deal and recommending that its shareholders agree to it.
Blue Coat confirmed that it will continue to operate with its focus on web security and WAN optimisation. David W. Hanna, chairman of the board of Blue Coat Systems, said: “Over the past six months, our board of directors engaged in a comprehensive review of all strategic options available to Blue Coat.
“After an extensive evaluation of strategic alternatives with our independent advisers, the board has determined that the definitive agreement with Thoma Bravo provides an attractive all-cash valuation to our shareholders. We look forward to completing the transaction under the terms of the agreement as expeditiously as possible.”
Orlando Bravo, managing partner at Thoma Bravo, welcomed the opportunity to work with the existing Blue Coat management team. “As a private company, Blue Coat will be better positioned to innovate at an accelerated rate and achieve a higher level of growth,” he said.
Seth Boro, partner at Thoma Bravo, said: “Blue Coat marks the continuation of Thoma Bravo's investment efforts in the security technology industry and is the firm's fifth security technology platform investment.
“We are excited to partner with Blue Coat on strengthening its industry leadership position through product innovation, enhancing its world-class customer support and identifying organic and strategic growth opportunities.”