NetScreen Technologies, Inc. has signed a definitive agreement to acquire Neoteris, Inc., for approximately $245 million in stock and $20 million in cash at the closing, including assumption of all outstanding Neoteris options. Upon the achievement of certain revenue milestones, NetScreen will pay Neoteris stockholders and optionholders up to an additional $30 million in cash. Upon close, the acquisition will expand NetScreen's product portfolio to include Neoteris' "clientless" SSL VPN remote access solution that is designed to enable an enterprise remote user, telecommuter, or extranet partner to access corporate resources via a standard Web browser. The closing of the acquisition is subject to customary conditions, including antitrust clearance, and is expected to occur by the end of 2003. NetScreen plans to make Neoteris products available soon after the transaction is completed.
Neoteris' SSL VPN remote access solution is expected to complement NetScreen's current network security product portfolio of hardware-based network security solutions, allowing NetScreen to offer a range of secure access solutions--including enterprise site-to-site, employee remote access, and partner extranet communications. NetScreen anticipates that in addition to its SSL VPN solutions, Neoteris' application security gateways will bring new access management functionality, including the ability to implement forms- and header-based Web single sign-on (SSO), password management integration, and cross-enterprise online meeting functionality.