Symantec confirms VeriSign deal

Symantec has officially confirmed its widely-speculated deal to acquire VeriSign's Authentication Services business.

Under the deal, Symantec will pay VeriSign some US$1.28 billion (A$1.51billion) to take over both the products and services under the Authentication Services banner. The business accounted for US$101.9 million (A$120.23 million)  in revenues last year, roughly 40 percent of VeriSign's yearly total.

Amongst the assets which will go to Symantec are VeriSign's Secure Socket Layer (SSL) certification operation as well as the Public Key Infrastructure platform. Additionally, Symantec will take control of VeriSign's Japanese branch.

Symantec president and chief executive Enrique Salem said that the company hopes to use the newly-acquired branch to improve security and identity management for users.

"With the anonymity of the Internet and the evolving threat landscape, people and organisations are struggling to maintain confidence in the security of their interactions, information and identities online," said Salem.

"At the same time, people's personal and professional lives have converged and they want to use their various digital devices to access information wherever they are without jeopardizing their privacy."

For its part, VeriSign said that selling off the branch will allow the company to narrow its business focus on its infrastructure services operation.

"Following the close of this transaction, VeriSign will have a strong balance sheet, growth opportunities and a continuing commitment to deliver value to our customers and shareholders," said company president and chief executive Mark McLaughlin.