OpenText, a provider of enterprise information management (EIM) software, has entered into a definitive agreement to acquire Carbonite, a provider of cloud-based subscription data protection, backup, disaster recovery and end-point security solutions for small- and medium-sized businesses and consumers.
“Cloud platforms and secured, smart end-points are essential information management technologies as businesses transform into Industry 4.0,” said Mark J. Barrenechea, OpenText CEO & CTO. “This acquisition will further strengthen OpenText as a leader in cloud platforms, complete end-point security and protection, and will open a new route to connect with customers, through Carbonite’s marquee SMB/prosumer channel and products. We are very excited about the opportunities that Carbonite will bring, and I look forward to welcoming our new customers, partners and employees to OpenText.”
OpenText anticipates that the acquisition will complement its security offerings in data loss prevention, digital forensics, end-point detection and response with the addition of Carbonite’s data protection and end-point security solutions. The acquisition also adds significantly to OpenText’s Cloud business and further complements OpenText’s routes to market, strong enterprise customer base in the Global10K, enhanced SMB and prosumer markets, the company says.
The total purchase price of approximately $1.42 billion is inclusive of Carbonite’s cash and debt and the transaction is expected to close within 90 days of this announcement.
OpenText, through a wholly-owned subsidiary, intends to commence the tender offer for all of the shares of common stock of Carbonite within 10 business days. Pursuant to the agreement, the tender offer will be followed by a merger to acquire any untendered shares. The tender offer is subject to the tender of a majority of Carbonite’s shares and certain other regulatory approvals and customary closing conditions. The transaction is expected to close within 90 days.For more information, go to www.opentext.com.