Avast have agreed a deal to acquire antivirus app AVG, in a deal set to be worth $1.3 billion. The deal will be possible through cash on hand and debt financing. Avast will be offering all each shareholder of AVG, $25.00 per share in cash.
In a press release, Avast revealed that user base will rise to 400 million endpoints. Out of that number, 160 million are on mobile. This move will help increase their geographical reach, and further cement their stand as an Internet Security provider. Vince Steckler, Chief Executive Officer of Avast Software had the following to say:
“We are in a rapidly changing industry, and this acquisition gives us the breadth and technological depth to be the security provider of choice for our current and future customers,”
“Combining the strengths of two great tech companies, both founded in the Czech Republic and with a common culture and mission, will put us in a great position to take advantage of the new opportunities ahead, such as security for the enormous growth in IoT.”
Pending regulatory approvals and other arrangements, the transaction is expected to close between September 15, and October 15 this year.