The strategy of Symantec is to grow its security business and increase its lead as the world’s largest cyber security company.
Incidentally, Symantec also said its revenue fell 14 percent to $1,499 million, while net income dropped 50 percent to $117 million in the first quarter of fiscal year 2016.
Symantec is targeting Q2 revenue of $1,485 – $1,525 million, indicating a further drop in quarter revenue.
Symantec expects to receive $6.3 billion in net cash proceeds from the sale of Veritas.
“This transaction strengthens our financial foundation, paving the way for Symantec to grow its security business and increase its lead as the world’s largest cybersecurity company,” said Michael A Brown, president and CEO of Symantec.
Bill Coleman will be the CEO and Bill Krause will be the chairman of Veritas, said Symantec in a statement on Tuesday.