WALTHAM, Mass., May 29, 2015 /PRNewswire/ -- Raytheon Company
(NYSE: RTN) and Vista Equity Partners have completed a joint
venture transaction creating a new company that combines Websense,
a Vista Equity portfolio company, and Raytheon Cyber Products, a
product line of Raytheon's Intelligence, Information and Services
business. The newly-formed commercial cybersecurity company will be
known on an interim basis as Raytheon|Websense. The company expects
to introduce a new brand identity upon completion of standard
organizational integration activity.
Under the terms of the joint venture transaction originally
announced on April 20, 2015, Raytheon
owns 80.3 percent of the new company. Vista Equity Partners owns
19.7 percent. The joint venture will start operations immediately
and will be based in Austin,
Texas. John R. McCormack has
been named CEO of the new company.
"The creation of this new commercial cybersecurity company
allows us to leverage deep domain expertise to offer our customers
unique capabilities that will help defend against the vast,
advanced scope threats that exist today," said Thomas A. Kennedy, Raytheon Company Chairman and
Chief Executive Officer. "We are excited to bring these advanced,
defense-grade cyber solutions to our existing and new
customers."
Joint Venture Formation
As disclosed in the
transaction announcement press release, Raytheon has invested
$1.9 billion (net of cash acquired)
to acquire Websense, of which $600
million is in the form of an intercompany loan to the joint
venture. Raytheon has also contributed the assets of Raytheon Cyber
Products and related intellectual property, which is valued at
$400 million. Vista Equity Partners
has made a new cash investment of approximately $335 million for 19.7 percent of the equity
interest in the joint venture. Raytheon will consolidate the
operating results of the joint venture, which will be financially
reported as a separate business segment of Raytheon.
"The combination of Websense and Raytheon Cyber Products enables
us to deliver unprecedented levels of innovation that better
protect customers in today's incredibly dynamic and complex
business environment," said McCormack. "Advanced attacks and data
theft are the new normal; we believe this joint venture provides
customers the best defense against such threats."
About Websense
Websense is a global leader in
protecting organizations from the latest cyber-attacks and data
theft. Websense TRITON® APX provides advanced, adaptive cyber
security that protects critical data wherever it resides and gives
actionable intelligence across the entire threat lifecycle.
Websense comprehensive security solutions unify web, email, mobile,
data and endpoint security to prevent data theft. More than 21,000
organizations across 155 countries rely on Websense to stop
advanced persistent threats, targeted attacks and evolving malware.
A global network of channel partners distributes, deploys and
supports Websense solutions. For more about Websense, visit us at
www.websense.com and follow us on Twitter @websense.
About Vista Equity Partners
Vista Equity Partners, a
U.S.-based private equity firm with offices in Austin, Chicago and San
Francisco, with more than $14
billion in cumulative capital commitments, currently invests
in software, data and technology-based organizations led by
world-class management teams with long-term perspective. Vista is a
value-added investor, contributing professional expertise and
multi-level support towards companies realizing their full
potential. Vista's investment approach is anchored by a sizable
long-term capital base, experience in structuring
technology-oriented transactions, and proven management techniques
that yield flexibility and opportunity in private equity investing.
For more information, please visit www.vistaequitypartners.com.
About Raytheon
Raytheon Company, with 2014 sales of
$23 billion and 61,000 employees
worldwide, is a technology and innovation leader specializing in
defense, civil government and cybersecurity markets
throughout the world. With a history of innovation spanning 93
years, Raytheon provides state-of-the-art electronics, mission
systems integration and other capabilities in the areas of sensing;
effects; and command, control, communications and intelligence
systems, as well as cybersecurity and a broad range of mission
support services. Raytheon is headquartered in Waltham, Mass. For more about Raytheon,
visit us at www.raytheon.com and follow us on
Twitter @Raytheon.
Disclosure Regarding Forward-Looking Statements
This
release contains forward-looking statements, including information
regarding the joint venture and its business prospects, and the
cybersecurity market. These forward-looking statements are not
statements of historical facts and represent only the Company's
current expectations regarding such matters. These statements
inherently involve a wide range of known and unknown risks and
uncertainties. The Company's actual actions and results could
differ materially from what is expressed or implied by these
statements. Specific factors that could cause such a difference
include, but are not limited to: the parties' ability to
successfully integrate and operate the new company, and achieve
expected synergies and other benefits; the ability to attract and
retain key employees of the new company; the impact of competition;
the ability to develop products and technologies; the impact of
changes in the financial markets and global economic conditions;
risks of an impairment of goodwill or other intangible assets; and
other factors as may be detailed from time to time in the Company's
public announcements and Securities and Exchange Commission
filings. The Company undertakes no obligation to make any revisions
to the forward-looking statements contained in this release and the
attachments or to update them to reflect events or circumstances
occurring after the date of this release, including any
acquisitions, dispositions or other business arrangements that may
be announced or closed after such date, except as required by
law.
Contacts
Media
Pam Erickson
+1.781.522.5822
corporatepr@raytheon.com
Investors
Todd
Ernst
+1.781.522.5141
todd.ernst@raytheon.com
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SOURCE Raytheon Company