August 13, 1998 9:15 AM PDT
Platinum to buy Memco Software
The company today announced it has signed a definitive agreement to acquire security systems provider Memco Software, a provider of information security software.
Platinum said it will acquire the company in a stock-for-stock pooling of interests valued at just more than $400 million. The combined offerings of both companies will provide security software for protecting enterprise networks, databases, and systems across multiple platforms, according to Platinum.
With the transaction, Platinum hopes to become a major security software provider with this acquisition in areas such as access control, single sign-on, user and database security administration, authentication, intrusion detection, secure communications, and policy audit.
The IT infrastructure management software and services provider will integrate Memco's technology into the Platinum ProVision product.
Under the terms of the agreement, Memco will become a wholly-owned subsidiary of Platinum, which will exchange 0.836 shares of its stock for each share of Memco stock.
"Today Platinum is joining forces with a powerhouse in security to extend its security products, channels, development capabilities, and marketshare," Andrew "Flip" Flipowski, the chief executive of Platinum, said in a statement.
In January, Platinum agreed to exchange about $70 million in its common stock to acquire Learmonth and Burchett Management Systems (LBMS), a maker of process management software.
Microprocessor giant Intel took a stake in Platinum last December, estimated to be less than 5 percent, after the company purchased Intel's LANDesk Configuration Manager software.
(Intel is an investor in CNET: The Computer Network.)