Symantec to spin off Veritas storage business: report

The security firm has reportedly agreed to sell off Veritas in a bid to improve business flexibility.

CNET

Symantec is ready to announce the sale of its data storage business Veritas to Carlyle Group LP.

According to Reuters, sources familiar with the matter say a deal has been reached to sell off Veritas to the privacy equity firm, and the sale is expected to be announced at the same time as Symantec's quarterly earnings on Tuesday.

The security firm has been attempting to sell off the data storage business for several months. However, it is believed interest has waned due to a tax burden linked to splitting the company -- which Symantec wishes to do in order to separate business elements focused on enterprise and consumer security software.

This, in turn, may help the company better compete in a fast-paced market and improve the firm's overall business flexibility.

If the deal goes ahead, Bloomberg reports the acquisition could cost Carlyle between $7 billion and $8 billion.

Symantec purchased Veritas in December 2004 for $13.5 billion.

In June, Symantec launched a new cloud-based security offering. Dubbed Data Loss Prevention 14, the solution protects against data loss prevention in the cloud as well as Software as a service (SaaS) applications and includes content-based scans, employee monitoring and extra storage protection.

An important element of Data Loss Prevention 14 is Symantec's DLP for Cloud Storage, which integrates with cloud storage provider Box's platform to monitor employee accounts, keep track of sensitive corporate files and monitor how data is shared.

Symantec shares have dropped approximately 11 percent throughout 2015.

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