January 26, 2009 - 7:34am
The price equals US$1.67 per share. And the total sum of purchase is about C$92 million (US$73 million). Or net of Certicom's existing cash and short-term marketable securities it equals C$50 million (US$40 million). This transaction presents a profit of about 26% over the closing price of Certicom's common shares on the Toronto Stock Exchange ("TSX") on January 22, 2009, and nearly 40% over an unsolicited takeover bid for the Common Shares, previous to its termination, by a wholly owned subsidiary of Research in Motion Limited.
This transaction combines the strengths of both companies in a unique, strategic fit. With the purchasing of Certicom, VeriSign will gain a leadership position in Elliptic Curve Cryptography (ECC) technology, a highly efficient form of public-key encryption. Together, VeriSign and Certicom expect VeriSign's to reach emerging market opportunities in which ECC can efficiently enable secure data communications.
The transaction will be completed by way of statutory plan of arrangement under the Canada Business Corporations Act. The plan of arrangement is subject to court approval and must be approved by two-thirds of the votes cast by Certicom shareholders at a shareholders' meeting expected to be held in March 2009.
Source: VeriSign, Inc via Market Wire
VeriSign, Inc., the trusted provider of Internet infrastructure services for the networked world, signed an agreement with Certicom Corp., the global leader in Elliptic Curve Cryptography, provides the most security per bit of any known public-key scheme. Of purchasing all of the outstanding common shares of Certicom for C$2.10 per share.
The price equals US$1.67 per share. And the total sum of purchase is about C$92 million (US$73 million). Or net of Certicom's existing cash and short-term marketable securities it equals C$50 million (US$40 million). This transaction presents a profit of about 26% over the closing price of Certicom's common shares on the Toronto Stock Exchange ("TSX") on January 22, 2009, and nearly 40% over an unsolicited takeover bid for the Common Shares, previous to its termination, by a wholly owned subsidiary of Research in Motion Limited.
This transaction combines the strengths of both companies in a unique, strategic fit. With the purchasing of Certicom, VeriSign will gain a leadership position in Elliptic Curve Cryptography (ECC) technology, a highly efficient form of public-key encryption. Together, VeriSign and Certicom expect VeriSign's to reach emerging market opportunities in which ECC can efficiently enable secure data communications.
The transaction will be completed by way of statutory plan of arrangement under the Canada Business Corporations Act. The plan of arrangement is subject to court approval and must be approved by two-thirds of the votes cast by Certicom shareholders at a shareholders' meeting expected to be held in March 2009.
Source: VeriSign, Inc via Market Wire