Network Associates Monday moved to make good on its bid to take McAfee.com
private again and
return it to the Network Associates fold.
The company, which currently holds about 75 percent of McAfee.com’s equity, offered .78 of a share of its common stock in a tax-free
exchange for each outstanding share of McAfee.com Class A common stock.
Network Associates initial $208 million exchange offer was derailed only a day after it was made, with McAfee calling the
bid “insufficient.” The same day, the U.S. Securities and Exchange Commission (SEC) launched a formal accounting probe into Network
Associates’ accounting practices.
In May, Network Associates restated its financials for
1998-2000 as a result of the probe, allowing it to move forward with its efforts to reintegrate McAfee.com.
“With the filing of our restatements behind us, we believe it is the right time to move forward with the recombination of McAfee.com
into the Network Associates family of world-class anti-virus and security solutions,” George Samenuk, chairman and chief executive
officer of Network Associates, said in a statement Monday.
The company said it plans to file its plans for the exchange offer with the SEC on Tuesday. The offer is conditioned on Network
Associates obtaining at least 90 percent of all outstanding shares of McAfee, though that minimum condition may be waived at Network
Associates’ option. However, the company said it will not complete the offer if it does not acquire at least a majority of the
outstanding shares.