Symantec and LifeLock has agreed to acquire LifeLock, a leading provide of proactive identity theft protection service for consumers and consumer risk management services for enterprise.
Symantec has entered into a definitive agreement to acquire LifeLock for $24 per share, making the total enterprise value at $2.3 Billion.
The transaction is subject to LifeLock stockholder approval and customary closing conditions. The deal is expected to close in Q1 2017. Company expects to finance the transaction with cash on balance sheet and $750 million of new debt.
Symantec’s board of directors has also increased company’s share repurchase authorization from about $800 million to $1.3 Billiton, with up to $500 million in repurchases targeted by the end of fiscal 2017.
According to the survey, about 650 million people globally and one third of American citizens where victims of cyber crime. There is an estimated of $10 Billion market growth, with 80 million people addressable in US itself.
With this acquisition, the combination of both companies will create world’s largest consumer security business, with an annual revenue of about $2.3 Billion.
Currently, J.P. Morgan Securities, LLC and Citi are serving as co-lead financial advisors to Symantec’s Board of Directors while the Goldman, Sachs & Co. is acting as financial advisor to LIfeLock.
Together with Symantec we can deploy enhanced technology and analytics to provide our customers with unparalleled information and identity protection services. We are very pleased to have reached an outcome that serves the best interests of all LifeLock stakeholders