Shares in FTSE 100 cyber security company Avast surged after news broke of takeover talks with the parent company of Norton antivirus software.
Avast said in a statement that it was “in advanced discussions” with Nasdaq-listed NortonLifeLock about a potential merger. NortonLifeLock, which owns Norton antivirus software and sells other cyber security products, put out its own statement on the talks.
“A combination of NortonLifeLock and Avast would bring together two companies with aligned visions, highly complementary business profiles and a joint commitment to innovation that helps protect and empower people to live their digital lives safely,” the board of NortonLifeLock said.
“We would draw on the best of both companies to ensure that the combination would benefit our customers, reward our employees and maximise long term value for all shareholders.”
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NortonLifeLock said it was considering a cash and shares bid for Avast. No price was given, but reports say that Avast could fetch around $8 billion. Shares in Avast surged 13 per cent on the news to reach the speculative deal price.
Both sides said a bid was not certain and a deal could not be guaranteed.
