Investment firm to accumulate Blue Coat Systems

Blue Coat is to be acquired by private equity investment firm Thoma Bravo for around $1.3bn (£830m).

The private equity firm, which acquired Tripwire in May, has entered right into a definitive agreement to shop for Blue Coat, with the safety vendor's board of directors approving the deal and recommending that its shareholders conform to it.

Blue Coat confirmed that it'll continue to function with its deal with web security and WAN optimisation. David W. Hanna, chairman of the board of Blue Coat Systems, said: “Over the past six months, our board of directors engaged in a comprehensive review of all strategic options available to Blue Coat.

“After an in depth evaluation of strategic alternatives with our independent advisers, the board has determined that the definitive agreement with Thoma Bravo provides a beautiful all-cash valuation to our shareholders. We look ahead to completing the transaction under the terms of the agreement as expeditiously as possible.”

Orlando Bravo, managing partner at Thoma Bravo, welcomed the chance to work with the present Blue Coat management team. “As a personal company, Blue Coat would be better positioned to innovate at an accelerated rate and attain a stronger level of growth,” he said.

Seth Boro, partner at Thoma Bravo, said: “Blue Coat marks the continuation of Thoma Bravo's investment efforts within the security technology industry and is the firm's fifth security technology platform investment.

“We are excited to partner with Blue Coat on strengthening its industry leadership position through product innovation, enhancing its world-class customer service and identifying organic and strategic growth opportunities.”