Summary
F5 Networks, Inc. (FFIV) announced the completion of its acquisition of Acopia Networks, Inc. on September 12, 2007. This strategic move involved acquiring Acopia, a company specializing in high-performance, intelligent file virtualization solutions, through a merger with F5's wholly-owned subsidiary, Checkmate Acquisition Corporation. The acquisition was finalized pursuant to an Agreement and Plan of Merger dated August 6, 2007. This transaction represents a significant expansion for F5 into the file virtualization space. The total consideration paid to Acopia's stockholders and option holders was $210 million in cash, adjusted for transaction fees. A portion of this amount, $21 million, has been placed in escrow to cover potential indemnification claims. F5 also assumed Acopia's stock option plan, including outstanding unvested in-the-money options, which will allow holders to purchase F5 common stock upon exercise.
Key Highlights
- 1F5 Networks successfully completed the acquisition of Acopia Networks, Inc. on September 12, 2007.
- 2Acopia Networks specializes in high-performance, intelligent file virtualization solutions.
- 3The acquisition was structured as a merger where Acopia became a wholly-owned subsidiary of F5.
- 4The total purchase price for Acopia was $210 million in cash, net of transaction fees.
- 5$21 million of the purchase price is being held in escrow for indemnification purposes.
- 6F5 Networks assumed Acopia's stock option plan, including outstanding unvested options.