Antivirus and security software vendor Avast announced its bid to acquire its Czech-based competitor AVG at a purchase price of $25 per share in cash. That would work to a total of $1.3 billion cash, which Avast will be required to shell out to acquire AVG.
Avast is said will use its cash balances in addition to committed debt financing from third party lenders to purchased AVG. This acquisition is meant to give Avast a wider market and increase its geographical breadth. The security software vendor also announced its plans to build up more extensive security offerings, particularly within the growing market of Internet of Things.
Avast also intends to undertake some organization restructuring to achieve maximum efficiency. This move will possibly see a reduction in employees headcount under the company’s payroll. In a statement, Avast’s spokeswoman said.
“We haven’t started planning the team integration yet. Over the next months we will be analyzing and planning the organizations, but can’t speak of any potential staff reductions until after that.”
Nonetheless, the company did not shy away from boasting about the potential gain when Avast and AVG user-base are combined. …read more