RSA Security Gobbled Up In Game OfCorporate Pac-Man
BEDFORD, Mass. - (07/03/06) Online security provider RSASecurity Inc., which earlier this year acquired competitors Cyota,Inc., then PassMark Security, will itself be digested by a largerfirm in a deal announced Friday. EMC Corp., a provider of datastorage solutions in nearby Hopkinton, Mass., will pay $28 a share,or $2.1 billion, to acquire RSA, which has emerged as the leadingprovider of online authentication and data security solutions. Inconnection with the merger, RSA has agreed to make a total of $6.7million in retention payments, including $540,000 to Robert Nault,general counsel, and Charles Kane, chief financial officer, and$360,000 to Vivian Vitale, senior vice president, human resources.In addition, the two firms have agreed to a $75 million break-upfee if the deal does not go through. The acquisition is expected tobe completed in the third quarter. The deal follows RSAsacquisiton of PassMark Security for $4.7 million in April, and lastDecembers acquisition of Cyota for $145 million.