The deal ends a series of taxing years for Carbonite
Carbonite Inc., a leading data & cyber security firm, recently acquisition by a leading EIM (Enterprise Information Management) firm, OpenText. Reportedly, the transaction has been closed at a purchase price of USD $1.42 billion.
For the record, OpenText, Inc., is a leading Enterprise Information Management company, with both on-premises & cloud services. The firm offers complete solution for Enterprise Information Management by utilizing all the comprehensive view of all the information within an organization. The firm operates in around 40 countries, offering a tested platform for growth & new sales opportunities.
The transaction marks a 78% premium on Carbonite Inc.’s unaffected share price on September 5, the last day before media speculated the potential buyout of the backup & data recovery firm.
As per sources close to the matter, the business deal is subject to customary closing conditions, along with the tender of a majority of outstanding shares of Carbonite common stock & regulatory approvals.
Steve Munford, interim CEO & Executive Chairman of the Board of Carbonite, was reported to state that firm’s Board conducted a thorough and comprehensive process to find the best way to maximize shareholder value. Many strategic and financial parties were a part of this process. Munford added saying that the Carbonite’s Board firmly believes that this transaction with OpenText will deliver immediate, compelling and substantial cash value to shareholders in the coming years.
The deal ends a series of taxing years for Carbonite, as the company moves away from a traditional data backup company to a more defensive security company. In the first quarter of 2019, Carbonite purchased Webroot, an endpoint security company in an-all cash deal for a whopping USD $618.5 million. Also, in 2018, Carbonite bought a cloud backup service provider, Mozy for USD $145 million.
Source Credits: https://techcrunch.com/2019/11/11/opentext-buys-carbonite/