Photographer: Tony Avelar/Bloomberg

Symantec Said to Reach Deal to Buy LifeLock for $2.4 Billion

  • Cybersecurity company said to outbid Permira, TPG, Elliott
  • Goldman worked on sale of identity-theft protection company

Symantec Corp., one of the world’s largest cybersecurity companies, reached an agreement to acquire LifeLock Inc. for about $2.4 billion, people familiar with the matter said.

The deal may be announced as soon as Monday, said the people, who asked not to be named because the process is private. Tempe, Arizona-based LifeLock was pursued by bidders including private equity firms Permira, TPG and Evergreen Coast Capital, the new buyout arm of hedge fund Elliott Management, the people said.

Representatives for Symantec and LifeLock didn’t immediately respond to requests for comment.

LifeLock has been working with Goldman Sachs Group Inc. on the potential sale for several months, people with knowledge of the process said earlier this month. The company provides a range of identity-theft protection services for consumers and small businesses, including credit monitoring and alerts, according to its website.

Shares of the company have risen 45 percent this year to $20.75, giving it a market value of about $1.95 billion.

Symantec has been re-orientating its business more heavily toward cybersecurity, acquiring Blue Coat Inc. from Bain Capital this year in a $4.65 billion deal. Earlier in the year, Mountain View, California-based Symantec sold data storage unit Veritas to Carlyle Group LP for $7.4 billion.

Elliott’s activist investing arm unveiled a stake in LifeLock in June and owns about 11 percent of the company. Another Elliott activist target -- Mentor Graphics Corp. -- agreed to be acquired by Siemens AG for $4.5 billion in a deal announced Nov. 14.

Evergreen Coast Capital, Elliott’s recently formed private equity arm, had jointly bid for LifeLock with another buyout partner, two of the people said. In its debut buyout deal, Evergreen agreed in June to acquire Dell Inc.’s software unit in partnership with Francisco Partners Management.

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