Symantec To Buy PGP For $300M; Guardian Edge For $70M

Symantec (SYMC) this morning announced a pair of acquisitions in the e-mail and data encryption market.

The company will acquire PGP Corp. for $300 million in cash, and it will buy GuardianEdge for $70 million in cash. Both deals are expected to close in the June quarter. The company said the deals will be 2 cents dilutive to non-GAAP EPS in FY 2011, and accretive starting in 2012.

PGP, the company says, “is a global leader in email and data encryption software,” with products used by more than 110,000 customers, including 87% of the Fortune 100. Based in Meno Park, California, PGP in 2007 raised $27.3 million from a group including Intel Capital, D.E. Shaw, DCM and Venrock. That followed investments by DCM and Venrock of $14 million in August 2002 and $10 million in December 2005.

GuardianEdge is “the leader in end-point data protection for the enterprise,” the company says. Investors in the San Mateo, California-based company include Cargill Ventures, Cardinal Venture Capital and Altos Ventures.

SYMC is down 14 cents, or 0.8%, to $17.22.

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