Avast Software, known to us by Avast Antivirus, today announced plans to buy AVG Technologies, the developer of AVG Antivirus.
Vincent Steckler, CEO of Avast Software, says his company intends to make an offer to AVG to buy all of the company's shares in price of $25 per share. If you are wondering about the total amount it reaches 1,3 billion dollars.
Avast Software is a private company, while AVG is a public company listed on the New York Stock Exchange.
Steckler said in a statement that the AVG Board of Directors gave the green light for this transaction and would recommend shareholders accept the offer.
If the voting of AVG shareholders is completed with a proposal that gives the green light, the sale should go through government regulatory procedures. Following this approval, AVG will become part of Avast.
Both AVG and Avast have userbases of around 200 million users. Steckler says that after the acquisition, Avast will be on about 250 million PCs and Macs, and another 160 million mobile devices.
"OR procedure it doesn't allow us to talk much about how we're going to operate after the merger, so I can't say,” says Steckler.
To mention, Avast Software recently received financial support of $1,7 billion from investors such as Credit Suisse Securities, Jefferies, and UBS Investment Bank.
According to OPSWAT data from 2015 in January, Avast leads antivirus market with a market share of 21,4 per cent, while AVG is ranked third with 8,6 per cent.
After the acquisition, Avast will have a total stake of 30 percent.
