In a deal set to reshape the network security landscape, Cisco today announced its intention to acquire Sourcefire for $2.7 billion. Cisco will pay $76 per share for Sourcefire. The deal is expected to close in the second half of 2013.
Sourcefire is a leading vendor of Intrusion Prevention System (IPS) technology; its founder, Marty Roesh, founded the popular open source SNORT IPS technology. Once the deal closes, Roesh will join Cisco as VP and Chief Architect of Cisco’s security group, reporting to Chris Young, Senior Vice-President for Security at Cisco.
During a conference call with analysts to discuss the deal, Young said that with the acquisition of Sourcefire, Cisco takes a step forward in accelerating its security business. The deal will add to Cisco’s existing security assets and its many acquisitions over the years. Prior to the acquisition of Sourcefire, Cisco’s largest security acquisition had been the 2007 acquisition of Ironport for $830 million.
According to Young, the Cisco/Sourcefire combination will strengthen how organizations can address the entire modern threat continuum, from data center to endpoint.