McAfee has announced the acquisition of Secure Computing.
The deal will represent an equity value for Secure Computing's common stock of approximately $413 million in the aggregate.
In addition, Secure Computing's outstanding shares of preferred stock will also be redeemed for cash as part of the proposed transaction, which would represent approximately, calculated as of today's date, an additional $84 million. In total, net of cash held by Secure, the proposed transaction would be valued at approximately $465 million.
Secure Computing is a provider of network security which delivers a comprehensive set of solutions that help customers protect their critical Web, email and network assets.
Dave DeWalt, chief executive officer and president of McAfee, said: “Today's announcement of this pending acquisition is a natural extension of McAfee's security-only focus. We expect the pending combination of McAfee and Secure Computing will create an annual projected combined revenue of just under $500 million in the network security segment of our SRM portfolio. We believe that this pending acquisition will allow us to immediately establish a leading and highly competitive position in the network security space.”
Dan Ryan, president and chief executive officer of Secure Computing, said: “I believe the combination of the two companies will allow us to reap the benefits of a worldwide dedicated sales team three times our size, best-in-class security research, greater partner distribution and enhanced cross-selling opportunities. Combined, we believe we will become a leader in the network security space.”
The proposed acquisition is subject to regulatory approvals and Secure Computing stockholder approval, and is expected to close in the latter part of the fourth quarter of 2008. McAfee anticipates that following the closing, Secure Computing's technologies will be incorporated under McAfee's Network Security product business unit, headed by Dan Ryan.