Search Here

One of the world's biggest computer-security firms, Symantec and the famous identity-theft protection services company, LifeLock come into collaboration to come back cyber security related issues with their combined expertise in the field. Symantec, which owns Norton, a cyber-security software suite has expanded its wings wider by acquiring LifeLock for $2.3 billion.

The deal between Symantec and LifeLock

The boards of directors of both the companies had made the deal where LifeLock's shareholders shall receive $24 per share. The deal is expected to close after the regulatory approval in the first quarter of 2017. It is notable that the share price is a 16 percent premium to LifeLock's closing price on Friday at $20.75.

Symantec is expected to come up with new improvements in its Norton Suite, making it the largest consumer-facing online protection outfit in the world.

From the words of Symantec's Chief Greg Clark, "As we all know, consumer cybercrime has reached crisis levels. LifeLock is a leading provider of identity and fraud protection services, with over 4.4 million highly-satisfied members and growing. With the combination of Norton and LifeLock, we will be able to deliver comprehensive cyber defense for consumers."

The Cyber-Security Market in US

The current market worth of cyber security is around $10 billion and it is booming steadily. Symantec is estimating that the company will be able to address about 80 million people in the overall US market alone.  

Identity-Theft Protection Services by LifeLock

LifeLock, headquartered at Tempe, Arizona says it has been providing "proactive identity theft protection services for over 4.4 million consumers and consumer risk management services for various enterprises."

One of the important functionalities the company addresses in identity theft protection is alerting users to unauthorized identity access. The company does this by monitoring new account openings and credit applications. It has also been training police, government officials, merchants, and NGOs on various identity protection techniques.

Reports say that Symantec is taking on a new debt of $750 million to finance the LifeLock acquisition, following yet another acquisition in August of a cyber-security firm, Blue Coat for $4.65 billion. That deal ousted Symantec's former chief Michael Brown and replaced his chair with Clark.