Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Son of SAN - Storage Networking Technologies -- Ignore unavailable to you. Want to Upgrade?

To: Kerry Lee who wrote (806)	10/5/1998 5:15:00 PM
From: Neil S	Read Replies (2) \| Respond to of 4808

Veritas , Seagate unit to merge Monday October 5, 4:54 pm Eastern Time MOUNTAIN VIEW, Calif., Oct 5 (Reuters) - Veritas Software Corp. said Monday it has agreed to acquire the Network and Storage Management Group of Seagate Software, a unit of Seagate Technology Inc., in a deal valued at roughly $1.6 billion. Veritas will issue about 33 million of its common shares to form the new company, which will retain the Veritas Software name, employ about 2,300 people and make a wide range of data storage management products. Veritas chief executive officer Mark Leslie will be named chairman and CEO of the merged company and Seagate Software president Terry Cunningham will become its president and chief operating officer. ''The union represents a rare opportunity to bring together compatible cultures with a common vision,'' Leslie said in a statement. The Veritas board will expand from seven directors to include Cunningham and two directors appointed by Seagate Technology. The two directors are Seagate president Steve Luczo and Seagate Software chief strategic officer Greg Kerfoot. The deal is expected to be completed in January 1999. Warburg, Pincus Investors LP, a 19 percent stakeholder in Veritas, has agreed to vote in favor of the deal. The combined company will offer storage products ranging from desktop computers to large data centers. Veritas stock closed down $2.88 at $45.38 on the Nasdaq stock exchange, while Seagate ended off $$1.44 at $23.00 on the New York Stock Exchange. The news announcement came after the market's close. --------------------------------------------------------------------------------