San Jose, Calif.—Two acquisitions occurred in the computer security space this week, signaling a possible trend toward consolidation.
IT security company Secure Computing Corp. announced it has signed a definitive agreement to acquire CipherTrust, a messaging security company, for $273.6 million, comprised of $185 million is in cash, 10 million shares of Secure Computing common stock and a $10 million seller note that is subject to performance.
As a result of the deal, CipherTrust shareholders will have approximate 14% ownership stake in Secure Computing. The transaction is expected to close by Sept. 8, subject to approvals.
Jay Chaudhry, chairman-CEO of CipherTrust, will join Secure Computing's board of directors as vice chairman and serve as chief strategy officer.
On Thursday, SurfControl, an Internet security firm, announced it has completed its acquisition of on-demand security services company BlackSpider Technologies. The combined companies are able to offer clients security products and services through software, hardware and on-demand.