Nasdaq-listed NortonLifeLock is acquiring London Stock Exchange-listed Avast in a deal worth around $8.5 billion, to create the world's biggest consumer-focused security software company.
Both companies operate channel partner networks so there may or not be some fall-out in this area from the deal, which was the subject of strong speculation last month.
Vincent Pilette, chief executive officer of NortonLifeLock, said: “With this combination we can strengthen our platform and make it available to more than 500m end users. We will also have the ability to further accelerate innovation.”
NortonLifeLock will benefit from Avast's presence in the SOHO/VSB (very small business segment) too. It also reckons the combined businesses can realise around $280m in annual cost savings.
Following the completion of the transaction, Vincent Pilette will remain CEO, NortonLifeLock’s CFO Natalie Derse will remain in that role too and Avast CEO Ondřej Vlček is expected to join NortonLifeLock as president and become a member of the board.
In addition, Pavel Baudiš, a co-founder and current director of Avast, is expected to join the NortonLifeLock board as an independent director.
On completion of the merger the combined company will be dual headquartered in Prague, Czech Republic - Avast's location HQ - and Tempe, Arizona, where NortonLifeLock currently resides.
NortonLifeLock was formerly the consumer cyber security business of Symantec, having been acquired by that company in 2016. It was rebranded after the sale of Symantec’s enterprise security business to Broadcom in 2019.
Avast runs both the Avast and AVG brands, after acquiring that fellow Czech company a few years ago.
