Avast Acquires AVG in a Deal Worth $1.3 Billion

Avast and AVG

Avast and AVG are two long-time rivals in the world of PC security – a rivalry that has seen them meet up in the mobile niche as well.

At times, it is easy to find some people confusing the two, somehow because of the “AV” in each company’s name. In addition, the two deal with the manufacturing of products that deal with fighting malware and viruses. Another thing that brings these two further together is the fact that they both trace their roots to the Czech Republic.

Offering both free and paid versions of antivirus programs, the two companies boast as among the first to enter this business of distributing free antivirus programs. As a result, they boast a combined user base of over 500 million users. The major difference between the two is their ownership – where Avast is a private company, AVG is a public company and it is even listed on NYSE.

A future together

With the similarities between these two seemingly outweighing their differences, Avast and AVG have come to a takeover agreement that will see the former absorb the latter. Apparently, AVG has agreed to a takeover deal that will see Avast pay about $1.3 billion ($25 per share) to acquire the entirety of the former’s stock. As of now, the AVG board has no problem with this deal and as such, it is pending a confirmation from company shareholders.

AVG and Avast

If the deal goes through, it will mean AVG becomes part of Avast, hence the two will start working on a unified future. According to Avast, this process should be finalized within the next “few months.”

There is no clear reason as to why AVG is actually selling out to Avast. However, Avast is adamant that this merger will do the companies more good than bad.

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