Allot Acquires Its Web Security Partner, Optenet

Allot Communications announced that it has "..signed a definitive agreement to acquire the operations of Optenet, a global IT security company providing high-performance Security-as-a-Service (SECaaS) solutions to service providers and large enterprises worldwide .. The acquisition is based on an existing successful partnership that has already resulted in ten service provider customer wins, half of which are large tier-1 mobile operators"  

See "$6M Parental Control Win for Allot in EMEA (with Partner)" - here and "Allot Adds Parental Control and Anti-Malware VAS" - here.

"Under the terms of the agreement:

• Allot will acquire the operations of Optenet for approximately $6.5 million in cash to be paid upon and before closing, plus deferred and contingent purchase price.
   
• The deferred purchase price consists of approximately $5.5 million to be paid over two years following closing.
   
• In addition, there will be a performance-based earn-out over a period of five years. The earn-out is capped at approximately $26 million and is contingent upon reaching approximately $140 million in revenues in total over the following five years. 

The transaction is expected to close during the first quarter of 2015.Allot currently expects the acquisition to contribute a few millions of dollars to revenues and to be marginally accretive on a non-GAAP basis during fiscal year 2015".

See "Allot Communications to Acquire Operations of Optenet, a Leading Security-as-a-Service Solution Provider" - here.