Aladdin Knowledge Systems to Acquire Secure SafeWord From Secure Computing
July 30 2008 - 7:00AM
Marketwired
TEL AVIV, ISRAEL and SAN JOSE, CA , an information security
leader specializing in authentication, software DRM and content
security, and Secure Computing Corporation (NASDAQ: SCUR), a
leading enterprise gateway security company, today announced a
definitive agreement for Aladdin to acquire the Secure SafeWord
product line for approximately $65 million in cash, including
acquisition costs.
The acquisition of Secure SafeWord will position Aladdin as the
premier strong authentication provider, adding highly innovative
token technology as well as a strong market and channel presence to
the existing Aladdin eToken family of solutions. To continue
SafeWord's worldwide growth, Aladdin plans to fully engage and
support Secure Computing's substantial, vibrant network of current
SafeWord channel partners. Secure SafeWord added $32 million to
Secure Computing's revenue in 2007.
"This acquisition is a major corporate milestone, as it quickly
brings sizeable revenues and growth opportunities that perfectly
align with Aladdin's business," said Yanki Margalit, Chairman and
CEO of Aladdin Knowledge Systems. "Through this acquisition,
Aladdin stands as a worldwide leader in strong authentication
technology. The incorporation of SafeWord into the Aladdin set of
eToken authentication solutions will benefit customers by providing
them a broader range of solutions for their security needs."
"After considering a number of prospective buyers, Secure
Computing chose Aladdin as the strongest partner, best suited to
ensure a seamless transition and continued best-in-class services
and support for our Secure SafeWord customers and partners," said
Daniel Ryan, president and CEO of Secure Computing. "The sale of
Secure SafeWord enables Secure Computing to redouble its focus on
its areas of greatest strength and expertise -- delivering
comprehensive and integrated Web, mail and network gateway
appliances. The company believes the vast majority of customers and
channel partners will both support and celebrate the company's
renewed focus."
Secure Computing's SafeWord business unit and all of its
employees, including the SafeWord research and development group
and SafeWord sales team, are expected to be incorporated into
Aladdin Knowledge Systems. The sale of SafeWord to Aladdin
Knowledge Systems by Secure Computing is subject to certain closing
conditions which are contained in the asset purchase agreement
entered into by the parties. The transaction is expected to be
consummated in August or September 2008. Pending a successful
completion of the transaction, the acquisition is anticipated to be
accretive to Aladdin on a GAAP diluted earnings per share basis
toward the last quarter of 2009.
Teleconferences & Web Casts
Aladdin will hold a teleconference today at 8:30 a.m. EDT to
discuss the acquisition. To participate in the call, dial +1 (888)
281-1167 in North America, or +972 (3) 918-0691 internationally,
approximately five minutes prior to the scheduled call start time.
The call is being simultaneously Web cast and can be accessed on
the Aladdin Web site at www.Aladdin.com/investor. Please visit the
Web site at least 15 minutes prior to the scheduled call time to
register for the Web cast and download any necessary audio
software. A replay of the call will be made available through
August 6th by accessing +1 (888) 254-7270 in North America, or +972
(3) 925-5954 internationally.
Secure Computing will hold a conference call today at 9:00 a.m.
EDT to discuss the divestiture. To participate in the call, dial +1
(888) 324-2880 in North America, or +1 210-839-8792
internationally, approximately five minutes prior to the scheduled
start time. The call is being simultaneously Web cast and can be
accessed at the Investor Relations section of the Secure Computing
Web site at www.securecomputing.com. In addition, a telephone
replay will be made available through August 6th by accessing +1
(888) 566-0619 in North America or +1 (402) 998-0719
internationally.
About SafeWord
SafeWord two-factor authentication technology protects
companies' important information assets and applications. Secure
SafeWord's tokens and seamless integration with any existing
Microsoft infrastructure make it simple to deploy remote access
authentication for VPNs, Citrix applications, Web applications,
Webmail, and Outlook Web Access. SafeWord allows users to deploy
and protect more applications, use phones as a two-factor
authenticator, and lower the overall total cost of ownership
through tools that make the job of deploying two-factor
authentication simple for administrators and users.
About Secure Computing Corporation
Secure Computing Corporation (NASDAQ: SCUR), a leading provider
of enterprise gateway security, delivers a comprehensive set of
solutions that help customers protect their critical Web, email and
network assets. Over half the Fortune 50 and Fortune 500 are part
of our more than 22,000 global customers, supported by a worldwide
network of more than 2,000 partners. The company is headquartered
in San Jose, Calif., and has offices worldwide. For more
information, see www.securecomputing.com.
About Aladdin
Aladdin Knowledge Systems (NASDAQ: ALDN) is an information
security leader with offices in 12 countries, a worldwide network
of channel partners, and numerous awards for innovation. Aladdin
eToken is the world's #1 USB-based authentication solution,
offering identity and access management tools that protect
sensitive data. Aladdin HASP SRM boosts growth for software
developers and publishers through strong anti-piracy protection, IP
protection, and secure licensing and product activation. Aladdin
eSafe delivers real-time intelligent Web gateway security that
helps protect data and networks, improve productivity, and enable
compliance. Visit www.Aladdin.com.
All product names and trademarks are the property of their
respective firms.
This press release may contain forward-looking statements which
are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Investors are cautioned
that these forward-looking statements involve risks and
uncertainties that could cause actual results to differ materially
from current expectations. These risks and uncertainties include,
without limitation, the expected timing and benefits of of the
proposed transaction and the risks and uncertainties described from
time to time in the companies' periodic reports filed with the
Securities and Exchange Commission. The companies specifically
disclaim any responsibility for updating these forward-looking
statements.
� 2008 Aladdin Knowledge Systems, Ltd. All rights reserved.
HASP, eToken, eSafe, Aladdin Knowledge Systems and the Aladdin logo
are trademarks or registered trademarks of Aladdin Knowledge
Systems, Ltd.
Aladdin Press Contact: Matthew Zintel Zintel Public Relations
matthew.zintel@zintelpr.com 310.574.8888 Aladdin Company Contact:
Debbie Kaye Corporate Communications Manager
debbie.kaye@aladdin.com 646.468.0481 Secure Computing Press
Contact: Paula Dunne Contos Dunne Communications LLC
paula@contosdunne.com 408.776.1400 Secure Computing Contact: Ally
Zwahlen Secure Computing Corporation Ally
Zwahlen@securecomputing.com 925.288.4175
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