INSUBCONTINENT EXCLUSIVE:
Carbonite has agreed to a $1.42 billion purchase by OpenText, an enterprise information management giant, ending weeks of speculation
about the anticipated buyout.
The deal marks a 78% premium on Carbonite share price on September 5, when it was first rumored the company
was preparing to buy the backup and data recovery company
Carbonite said the board &strongly believes& the deal will return &substantial& cash value to shareholders, said Steve Munford, chairman of
Carbonite board.
It ends a busy couple of years for Carbonite as the company has moved away from a traditional data backup business to a
more proactive, defensive security company.
InFebruary, Carbonite bought endpoint security company Webroot for $618.5 million in an all-cash
deal, as the company pushed to protect against emerging threats like ransomware
Only a year earlier, Carbonite bought Mozy for $145 million, a cloud backup service.
Carbonite said at the time of its acquisition by
OpenText the backup company had losses of $14 million on revenues of $125.6 million, an increase by 62% year-over-year.
Wall Street was
expecting average revenues of $131.5 million.
An earlier version of this story said Carbonite made $125.6 billion in revenue
This was in error — the figure should have been in millions
We regret the error.
Carbonite to acquire endpoint security company Webroot for $618.5M
