VMware said it successfully completed its tender for Carbon Black shares at USD 26 per unit in cash, representing a full enterprise value of USD 2.1 billion. The tender offer expired on 7 October. By that time, about 64.1 million Carbon Black were tendered and not withdrawn, making up 85.1 percent of all outstanding shares. The transaction was funded through cash on hand and short term loans. Carbon Black shares stopped trading on the Nasdaq Stock Market on 8 October.
With the close, VMware is launching a new Security Business Unit within the company, headed by Carbon Black CEO Patrick Morley. The unit will focus on helping VMware customers with advanced cybersecurity protection, and in-depth behavioural insight to help stop sophisticated attacks and accelerate response.
VMware COO Sanjay Poonen said the deal will bring the company a cloud-native architecture, an AI-powered data lake and a smart, lightweight agent. The COO noted that the Carbon Black platform, along with VMware NSX, VMware Workspace ONE, VMware Secure State and future innovations, will deliver a “highly-differentiated” security platform across network, endpoint, workload, identity, cloud and analytics. “We believe this will bring a fundamentally new paradigm to the security industry,” he concluded.