[August 11, 2010] Symantec acquires authentication services unit of VeriSign Tweet Aug 11, 2010 (Datamonitor Financial Deals Tracker via COMTEX) -- Symantec Corp. has acquired identity and authentication business of VeriSign, Inc., which includes the Secure Sockets Layer (SSL) Certificate Services, the Public Key Infrastructure (PKI) Services, the VeriSign Trust Services, VeriSign Identity Protection (VIP) Authentication Service and the VIP Fraud Detection Service (FDS). Symantec is engaged in providing security, storage and systems management software solutions, while VeriSign is a provider of infrastructure services for the internet and communications networks. Both Symantec and VeriSign are based in the US. Announcement (May 19, 2010): Symantec has signed a definitive agreement to acquire identity and authentication business of VeriSign, which includes SSL, PKI, the VeriSign Trust Services and VIP Authentication Service. Under the terms of the agreement, Symantec will purchase the specific assets from VeriSign, including the majority stake in VeriSign Japan K.K., for a purchase price of approximately $1,280 million in cash. Symantec expects the transaction to close in the September 2010. As of April 31, 2009, VeriSign holds 24,241,630 shares, representing 53.74% stake in VeriSign Japan. Rumor (May 18, 2010): According to the Wall Street Journal, sources reported that Symantec is planning to acquire the authentication services unit of VeriSign for approximately $1,300 million. The authentication unit provides security technology for online payments. The unit reported revenues of $410 million in 2009. Allen & Overy LLP and Davis Polk & Wardwell LLP are acting as legal advisors, while Barclays Capital is acting as financial advisor to Symantec. Deal Value (US$ Million) 1280 Deal Type Acquisition Sub-Category Asset Purchase Deal Status Completed: 2010-08-09 Deal Participants Target 1 (Company) VeriSign, Inc. - Authentication Business Target 2 (Company) VeriSign Japan K.K. Acquirer (Company) Symantec Corporation Vendor (Company) VeriSign, Inc. Deal Rationale With the acquisition of the authentication services unit of VeriSign, Symantec intends to expand its business. The sale is a part of VeriSign's strategy to sell off its divisions in order to focus on its core business. Through this acquisition, Symantec can help businesses incorporate identity security into a comprehensive framework so that IT can confidently and securely adopt new computing models, from cloud computing to social networking and mobile computing to user-owned devices, that promise operational efficiencies and freedom of choice for their employees and customers. The combination of VeriSign's security products, services and recognition and Symantec's security solutions and widespread distribution will enable Symantec to deliver on its vision of a world where people have simple and secure access to their information from anywhere. [ Back To TMCnet.com's Homepage ]