Blue Coat Systems, a Web security and WAN optimization vendor, has reached an agreement to be acquired by private equity firm Thoma Bravo for $1.3 billion.
The company's shareholders will receive $25.81 cash per share, which it says is a premium of 48 percent of the company's closing share price the day before the deal was announced. Once necessary regulatory and shareholder approvals are met, the company said the deal will be completed in Q1 2012.
Although the ownership is changing hands, Blue Coat said it will continue to focus on developing WAN optimization and security products.
For the past six months, Blue Coat's board has been working with independent advisers to look at options for the company.
As reported in the International Business Times, shareholders were anxious to find a solution for the company as its stock dropped 41 percent in 2011 due to falling revenue as customers turn to competitors like Brocade Communications Systems, Juniper Networks, and Riverbed Technology.
"It was a company that was in decline and for Blue Coat shareholders there could not be any better news. They have definitely made a killing on this," ThinkEquity analyst Rajesh Ghai said in the article.
- see the release
- International Business Times has this article
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