The deal gives Broadcom ownership of Symantec's entire enterprise security business as well as the Symantec … Broadcom’s stock is up $4.31, or 1.45 percent, to $300.90 in trading Monday morning. Broadcom intends to achieve $1 billion of cost synergies in the year after the close of the Symantec deal through cuts to sales, marketing, general and administrative functions.Broadcom Monday completed the blockbuster acquisition of Symantec’s $2.5 billion Enterprise Security business that was first announced in August.“We are excited to join Broadcom as it continues to build one of the world’s leading infrastructure companies,” Gilliland said in a statement.
Broadcom Inc. is in advanced talks to buy cybersecurity firm Symantec Corp., according to people familiar with the matter, seeking a further expansion into the more profitable software business. Global Business and Financial News, Stock Quotes, and Market Data and Analysis.Sign up for free newsletters and get more CNBC delivered to your inboxGet this delivered to your inbox, and more info about our products and services."There is undoubtedly good that AVGO can do here; Symantec has been plagued by turnover, accounting restatements, & execution issues, and better more focused leadership could likely do it well," Bernstein Research analysts led by Stacy Rasgon wrote in a note distributed to clients on Thursday before the deal was announced.Broadcom said its expects the combination to result in more than $1 billion in run-rate cost synergies in the 12 months after the deal has closed, partly by eliminating redundancies. He previously spent nearly six years as CFO at consumer electronics player Logitech.“The launch of NortonLifeLock today is a key step in our transformation towards a stand-alone, pure-play consumer Cyber Safety business,” NortonLifeLock CFO Vincent Pilette said in a statement. “As we move through the transition period over the next twelve months, we will realign our cost structure for the company to drive revenue growth, cash flow generation and earnings power.”The company said it plans to enhance its investment around the Symantec enterprise security endpoint, web and data loss protection products, while scaling down investment in other areas where the return may not be as profitable. “Broadcom has a proven track record of successfully integrating companies, enabling enhanced growth and a faster pace of innovation.” The close of the $10.7 billion Broadcom-Symantec Enterprise Security deal was announced before the market opened. The consumer business of Symantec, meanwhile, will remain an independent, publicly traded entity and has immediately changed its name to NortonLifeLock.Pilette has served as Symantec’s CFO since May. The singular focus will allow us to fuel growth and continue innovation.”Even though Symantec’s consumer safety segment —which included both the Norton and LifeLock product lines— made up just 51 percent on the company’s overall revenue in the quarter ended June 30, the segment ending up generating a massive 90 percent of the entire company’s operating income, Hill told investors in August.On the flip side of the coin, NortonLifeLock will begin trading on the Nasdaq stock exchange Tuesday under the ticker symbol “NLOK” and is now based in Tempe, Ariz. Historically, this move is only matched by the tremendous blunder that Symantec …
Symantec's Enterprise Security business will now operate as the Symantec …