Symantec to Get Less Cash in Veritas Deal
January 19 2016 - 7:30PM
Dow Jones News
Private-equity firm Carlyle Group LP will pay $7.4 billion for
Symantec Corp.'s Veritas data-storage and recovery business, a
downward revision citing "uncertainties" that surfaced following
the August deal announcement.
Under the revised terms, Carlyle will pay $6.6 billion in cash,
rather than the previous $8 billion the two companies had agreed
on. To make up for the difference, Carlyle is also to take a $400
million equity interest in Veritas and will double the amount of
offshore cash remaining in Veritas to $400 million.
The deal is expected to close on Jan. 29.
Carlyle's stock rose 3% in late trading to $13.40, while the
cybersecurity company's edged down to $19.02.
Meanwhile, Symantec said it expects to report adjusted earnings
and revenue above the midpoint of guidance it gave Nov. 5 for its
fiscal third quarter.
Write to Maria Armental at maria.armental@wsj.com
(END) Dow Jones Newswires
January 19, 2016 19:15 ET (00:15 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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