Non-dilutive transaction expected to accelerate development of Page Integrity solution and provide access to new sales opportunities
CAMBRIDGE, Mass., Feb. 27, 2020 /PRNewswire/ -- Akamai Technologies Inc., (NASDAQ: AKAM), the intelligent edge platform for securing and delivering digital experiences, announces it has closed an asset purchase transaction with Palo Alto, California-based Instart to acquire customer contracts and intellectual property (IP). Akamai intends to expeditiously transition the acquired customers to Akamai's platform. The acquired IP is expected to benefit the development of Akamai's page integrity solution.
"Akamai identified a unique opportunity to acquire high value customers and migrate them to our platform with minimal cost to us and disruption to the customer," said Rick McConnell, president of Akamai and general manager of its web division. "Along with gaining customers, we are able to augment our efforts in page integrity, an area of immediate security concern for our customers."
New customers are expected to be rapidly migrated to the Akamai Intelligent Edge platform. The acquisition is immaterial to the company's financial results and is not anticipated to negatively affect the company's operating margin target.
Akamai secures and delivers digital experiences for the world's largest companies. Akamai's intelligent edge platform surrounds everything, from the enterprise to the cloud, so customers and their businesses can be fast, smart, and secure. Top brands globally rely on Akamai to help them realize competitive advantage through agile solutions that extend the power of their multi-cloud architectures. Akamai keeps decisions, apps and experiences closer to users than anyone - and attacks and threats far away. Akamai's portfolio of edge security, web and mobile performance, enterprise access and video delivery solutions is supported by unmatched customer service, analytics and 24/7/365 monitoring. To learn why the world's top brands trust Akamai, visit www.akamai.com, blogs.akamai.com, or @Akamai on Twitter.
The release contains information about future expectations, plans and prospects of Akamai's management that constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995, including statements about expected revenue and other benefits to Akamai from the acquisition. Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors including, but not limited to, failure to close the transaction expeditiously or at all, inability to migrate customers to Akamai, failure to successfully leverage the intellectual property acquired; failure to achieve expected post-closing financial results, and other factors that are discussed in the Company's Annual Report on Form 10-K, quarterly reports on Form 10-Q, and other documents periodically filed with the SEC.
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SOURCE Akamai Technologies, Inc.