Vancouver tech company Absolute Software sealed a deal on Thursday to be acquired by a US firm for nearly $1.2 billion.
Absolute is a cybersecurity company with a client roster, including American Airlines, Under Armour, rental car company Hertz, and more. It bills itself as a creator of self-healing security solutions essential in the remote work era and a guru to smooth disruptions and improve network health.
Crosspoint Capital, a US firm that believes its expertise in cybersecurity will help Absolute grow, is paying US$870 million (CND$1.2 billion) to acquire it. The purchase price was even more than what Absolute was valued at based on its stock prices — a 34% premium based on its closing share price on May 10.
“By partnering with Crosspoint, a proven cybersecurity investor with a track record in building growth companies, we are delivering immediate cash value to our shareholders while positioning Absolute for an exciting future,” Christy Wyatt, president and CEO of Absolute, said in a news release.
The company was founded in 1993 and, in the early 2000s, began to partner with device manufacturers. Now, its software has been factory-embedded in more than 600 million devices.
Absolute’s head office is in Vancouver, and it has three regional offices in the US, one in the UK, and one in Vietnam.