Netgear acquires CP Secure

New Delhi

Netgear has announced the execution of CP Secure, Inc. According to the

agreement, Netgear will pay $14.0 million in cash for CP Secure's assets.

CP Secure will receive a total additional payout of up to $3.5 million in

cash following closure of the acquisition if it achieves certain specified

objectives.

Shuang Ji, the CEO of CP Secure will be appointed as Netgear's

VP-Engineering for security products after the transaction.

"As SMBs increasingly rely on web 2.0 and e-mail applications to conduct

business with customers, partners, and vendors alike, SMBs are increasingly

seeking effective and easy-to-administer integrated solutions to safeguard

their networks and applications from Internet threats and ensure business

continuity," said Patrick Lo, Chairman and CEO, Netgear.

Under the terms of the transaction, Netgear is acquiring a select team of

CP Secure employees, including its Nanjing Engineering Center with over 40

engineering professionals, its pending patents, proprietary technologies,

customer base, current products, and products in development.

Netgear intends to release a full line of Netgear ProSecure security

appliances for web, e-mail and unified threat management incorporating CP

Secure's platform within the next 12 months. The addition of CP Secure's

seasoned engineering team forms a dedicated, world-class group focused on

hardware, software, and technology for network security appliances.