Antivirus giant will acquire competitor, AVG, for $1.3B

folarin okunola

July 8, 2016 1:34 PM

Avast says the deal will give it a combined network of over 400 million endpoints and 1060 million of those are mobile.

Avast Free Antivirus

Antivirus giant

Czech Republic-based Avast says it has already reached an agreement that will it buy out AVG in an all-cash deal which will be implemented via cash-on-hand and debt financing.

Avast says the deal will give it a combined network of over 400 million endpoints and 1060 million of those are mobile. It is offering AVG investors $25 per share, a premium of about 30% on current trading prices.

ALSO READ: 8 BEST protective programs for your devices at no cost

With its own reach and market share, combined with that of AVG, Avast will be able to boost its products and reach farther into emerging markets and new verticals such as the Internet of Things.

"We believe that joining forces with Avast, a private company with significant resources, fully supports our growth objectives and represents the best interests of our stockholders," said Gary Kovacs, CEO of AVG, in a statement.

"Our new scale will allow us to accelerate investments in growing markets and continue to focus on providing comprehensive and simple-to-use solutions for consumers and businesses, alike."

Avast's buyout offer has already been approved by its management, while AVG's board has recommended that its shareholders accept the deal but no other details of the deal have been released. A whole new antivirus behemoth is about to be born.

folarin okunola