Absolute Software, a provider of next generation endpoint resilience solutions, completed its acquisition of 100% of NetMotion Software, a provider of connectivity and security solutions, from The Carlyle Group.
The purchase price for the acquisition was approximately $340 million, subject to customary closing and working capital adjustments, and was paid in cash. Absolute funded the acquisition with approximately $65 million in cash from its balance sheet and a $275 million secured term loan from Benefit Street Partners pursuant to a credit agreement dated July 1, 2021. The loan facility has a six-year term, bears interest at a floating rate predicated on the LIBOR or the U.S. base rate plus a variable margin and contains customary terms and conditions for a senior secured financing of this nature.
“We are very excited to officially welcome NetMotion to the Absolute family,” Christy Wyatt, president and CEO of Absolute Software, said. “As organizations across all industries work diligently to determine what the future of work or learning looks like, there is a strong demand for capabilities that can autonomously deliver security, scalability and connectivity without impeding the user experience and without burdening IT and security teams. Combining the power of self-healing devices and applications with a resilient network connection, we are well-positioned to be the single source of intelligence from the endpoint to the edge, enabling our customers to operate confidently and securely in the work from anywhere era.”
“One of the key trends emerging from the pandemic has been the broad rethinking of how to provide network and security services to distributed workforces,” Garrett Bekker, senior research analyst for security at 451 Research, said. “This shift in thinking, in turn, has fueled interest in zero-trust network access (ZTNA) and secure access service edge (SASE).”