Cisco To Pay $2.7 Billion For Cybersecurity Specialist Sourcefire

Cisco Tuesday revealed plans to acquire Sourcefire, a maker of intrusion-detection and intrusion-prevention systems, in a deal the networking giant said will significantly expand its threat protection portfolio.

Under the terms of the deal, Cisco will pay $76 per share for Sourcefire, or approximately $2.7 billion. Cisco said the acquisition has already been approved by each company's board of directors.

Columbia, Md.-based Sourcefire, founded in 2001, specializes in next-generation intrusion-prevention systems, firewalls and advanced malware protection. Sourcefire designs its products around a strategy called Agile Security, or the belief that network monitoring capabilities coupled with security intelligence can make enterprise networks more adaptable to changing threat landscapes, and more capable of detecting threats before they become a serious issue.

Sourcefire completed its initial public offering in 2007 and has more than 650 employees worldwide. In 2012, the company reported a revenue of $223.1 million, which was up 35 percent year over year.

July 27,2013