June 12, 2016
Symantec Corp. plans to buy Blue Coat Systems Inc. in a $4.65 billion deal that will give the computer-security company a new portfolio of cyberdefense technologies along with a new chief executive.
Blue Coat Chief Executive Greg Clark is set to take that role at Symantec after the deal closes, which is expected to occur before October, the companies plan to announce. Symantec SYMC, +3.08% has been searching for a new CEO ever since Michael Brown stepped down in April amid disappointing financial results.
In moves representing votes of confidence on the deal, private-equity firm Bain Capital LLC, which controls Blue Coat, will invest $750 million of the proceeds back into the combined company in the form of debt convertible into equity, while Silver Lake will invest $500 million in convertible debt on top of $500 million it already agreed to put into Symantec this year.