$1.3 Billion Deal: Avast Is Acquiring AVG

Avast has announced earlier today that it is acquiring rival antivirus software company, AVG. The announcement was made in a statement released today earlier today. The acquisition, which will see Avast paying $25 for each share, will amount to a total of $1.3 billion which is to be paid in cash.
Avast is using it’s own cash along with fund gotten from credit agencies. Both companies have been in the antivirus software business for over 25 years, with both founded in Czechoslovakia. According to Avast, both companies have a user base of about 400 million, out of which 160 million make use of their mobile antivirus solutions.
Avast notes that the deal will be of benefit in reaching out to a wider audience. It is also mentioned that this will help bolster the company’s venture into IoT security. Vince Steckler, chief executive officer of Avast Software, said:
We are in a rapidly changing industry, and this acquisition gives us the breadth and technological depth to be the security provider of choice for our current and future customers.
He continued:
Combining the strengths of two great tech companies, both founded in theCzech Republicand with a common culture and mission, will put us in a great position to take advantage of the new opportunities ahead, such as security for the enormous growth in IoT.
An Avast spokeswoman toldTechCrunch that the AVG brand name would not be folded into Avast. She said team integrations is yet to start, but this will be done over the next few months:
We haven’t started planning the team integration yet. Over the next months we will be analyzing and planning the organizations, but can’t speak to any potential staff reductions until after that.
The deal is expected to be finalized by September as Avast shareholders need to approve the deal

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Mohiddeen Ahmad

I am Mohiddeen Ahmad, the fountainhead of Flowdiary Blog. I Manage this blog and post articles relating to Entrepreneurship, Online Marketing, Technology, Blogging and more.. Stay updated on Facebook, Google+, Twitter, Instagram, and YouTube

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