Akamai to Acquire Prolexic for $370M / €273M

The deal will be closed in the first half of next year

Cloud services provider Akamai has entered a definitive agreement to acquire Prolexic Technologies, one of the main distributed denial-of-service (DDOS) protection solutions providers, for around $370 million (€273 million) in cash. 

Prolexic technologies will be used by Akamai to extend its optimization and security offerings for data centers and enterprise IP applications. Akamai is confident that Prolexic’s solutions can be of great aid to customers that want to protect their IP and Web infrastructure against cyberattacks.

Prolexic solutions are designed to mitigate network-layer, application-layer and data center attacks.

“Any company doing business on the Internet faces an evolving threat landscape of attacks aimed at disrupting operations, defacing the brand, or attempting to steal sensitive data and information,” Tom Leighton, CEO of Akamai, commented on the acquisition.

“By joining forces with Prolexic, we intend to combine Akamai’s leading security and performance platform with Prolexic’s highly-regarded DDoS mitigation solutions for data center and enterprise applications protection. We believe that Prolexic’s solutions and team will help us achieve our goal of making the Internet fast, reliable, and secure.”

The deal will be closed in the first half of 2014. In the first year after the closure, Akamai expects that its Non-GAAP net income per share will be slightly impacted.

“Today, business is defined by the availability, security and latency of Internet-facing applications, data and infrastructure,” explained Scott Hammack, CEO at Prolexic.

“Being able to rely on one provider for Internet performance and security greatly simplifies resolution of network availability issues and offers clients clear lines of accountability. We believe that, together, we will be able to deliver an unprecedented level of network visibility and protection.”

Akamai is hosting a conference call on the Prolexic acquisition on December 2, 2013, at 8:45 AM ET.

Hot right now  ·  Latest news