Symantec confirms $8 billion deal to sell Veritas
Symantec confirmed its $8 billion in cash agreement to sell its Veritas data-storage business to investors led by Carlyle Group LP, a private-equity firm.
The Wall Street Journal reports that Carlyle linked up with GIC, Singapore's sovereign-wealth fund, and other investors for the deal. It is expected to close by January 1.
The news follows Symantec's confirmation earlier this year that it would separate from its data-storage entity in order to make the two independently traded companies. The cybersecurity company acquired Veritas in 2005 for an all-stock deal valued at approximately $13.5 billion.
This deal will likely yield Symantec $6.3 billion in cash proceeds and add $1.5 billion to its share-buyback program.
Bill Coleman, chief executive of Cassatt Corp. and a member of Symantec's board, will serve as Veritas' CEO. Bill Krause, an operative executive at Carlyle, was named chairman.