M&A Deal Summary

Avaya Acquires VPNet Technologies

On February 8, 2001, Avaya acquired information technology company VPNet Technologies from First Analysis and Argentum Capital Partners for 120M USD

Acquisition Highlights
  • This is Avaya’s 1st transaction in the Information Technology sector.
  • This is Avaya’s 3rd largest (disclosed) transaction.
  • This is Avaya’s 1st transaction in the United States.
  • This is Avaya’s 1st transaction in New Jersey.

M&A Deal Summary

Date 2001-02-08
Target VPNet Technologies
Sector Information Technology
Buyer(s) Avaya
Sellers(s) First Analysis
Argentum Capital Partners
Deal Type Add-on Acquisition
Deal Value 120M USD

Target

VPNet Technologies

Basking Ridge, New Jersey, United States
VPNet Inc. designed, developed, and marketed solutions that allowed corporations to cost-effectively use virtual private networks while preserving network and application scalability, performance, and security. The company specialized in dedicated hardware network security products that performed at high-speed levels not attainable in software-only solutions.

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Buyer(S) 1

Buyer

Avaya

Santa Clara, California, United States

Category Company
Founded 2000
Sector Communications
DESCRIPTION

Avaya, Inc. is a global provider of communication systems, applications, and end-to-end services to enterprises worldwide; and offers IP telephony solutions, traditional voice communications solutions, contact center infrastructure and applications, and unified communications gear and appliances. Avaya was formed in 2000 and is based in Santa Clara, California.


DEAL STATS #
Overall 1 of 21
Sector: Information Technology M&A 1 of 2
Type: Add-on Acquisition M&A Deals 1 of 20
State: New Jersey M&A 1 of 1
Country: United States M&A 1 of 12
Year: 2001 M&A 1 of 3
Size (of disclosed) 3 of 8
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2001-03-07 Cyber IQ Systems Assets

United States

Cyber IQ Systems Assets comprises HyperCommerce, a layer 7, URL/cookie-persistent load-balancing, context-aware appliance that offers smart, secure transaction switching and provides a highly available, fast and scalable e-business infrastructure solution, CyberSSL, a server appliance that offloads cryptographic algorithms at record-breaking speeds. CyberSSL can handle 1520 transactions per second and more than 600 HTTPS requests per second and Monster SSL, a highly scalable SSL accelerator card that is incorporated in both products.

Buy -

Seller(S) 2

SELLER

First Analysis

Chicago, Illinois, United States

Investor Investor Investor Investor Investor


Category Venture Capital Firm
Founded 1981
PE ASSETS 800M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

First Analysis is a financial advisory and investment firm. First Analysis' private equity arm targets investments in growth companies at all stages of development. The Group looks for opportunities based primarily in the US and can commit up to $10 million of equity per transaction. Sectors of particular interest include outsourced services, (business/government services, education, environmental services, healthcare services, marketing services); information technology, (business integration, call centers, healthcare IT, network security, open source, sensor systems, transaction processing); and chemistry enabled businesses (advanced materials, chemicals, healthcare products, polymers, purification). First Analysis was formed in 1981 and is based in Chicago, Illinois.


DEAL STATS #
Overall 14 of 73
Sector: Information Technology M&A 4 of 14
Type: Add-on Acquisition M&A Deals 10 of 53
State: New Jersey M&A 2 of 7
Country: United States M&A 14 of 72
Year: 2001 M&A 2 of 4
Size (of disclosed) 12 of 22
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2001-02-01 TransCore Holdings

Hummelstown, Pennsylvania, United States

TransCore Holdings, Inc is a provider of technologies and related services in areas such as radio frequency identification (RFID), satellite-based communication, mobile asset tracking, security applications and comprehensive toll system and processing services.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2001-05-03 Intradiem

Marietta, Georgia, United States

Intradiem is a provider of a SaaS-based solution that automates intraday management and real-time processes and turns frontline workforces into real-time workforces that can adapt and respond to changing conditions and events throughout the day. Intradiem was founded in 1995 and is based in Marietta, Georgia.

Buy -
SELLER

Argentum Capital Partners

New York, New York, United States

Investor Investor Investor Investor Investor


Category Growth Capital Firm
Founded 1988
PE ASSETS 400M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Argentum Capital Partners is a private equity firm focused on investing in small to mid-sized companies with proven business models and the ability to become market leaders. Prospective transaction situations include growth capital financing, management buyouts, platform acquisitions, and recapitalization. The firm typically takes minority positions, except in the case of management buyouts. Industry sectors of interest include business services, healthcare, and technology. Argentum generally prefers opportunities located in the Eastern US, but will consider companies across the US. Argentum Capital Partners was formed in 1988 and is based in New York City.


DEAL STATS #
Overall 7 of 47
Sector: Information Technology M&A 2 of 5
Type: Add-on Acquisition M&A Deals 5 of 32
State: New Jersey M&A 1 of 5
Country: United States M&A 7 of 45
Year: 2001 M&A 1 of 2
Size (of disclosed) 3 of 7
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2000-08-01 Paciolan

Irvine, California, United States

Paciolan, Inc. engages in ticketing, fundraising, marketing, and analytics solutions with over 37 years of experience serving more than 500 live entertainment organizations. Paciolan enables the sale of more than 120 million tickets per year by powering over 120 college athletic programs, more than 100 professional sports and arenas organizations, 75 performing arts venues, and several regional ticketing partners who serve hundreds of venues.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2001-08-14 Micro Focus

Newbury, United Kingdom

Micro Focus is a provider of innovative software that allows companies to dramatically improve the business value of their enterprise applications. Micro Focus Enterprise Application Modernization, Testing and Management software enables customers’ business applications to respond rapidly to market changes and embrace modern architectures with reduced cost and risk. Micro Focus was founded in 1976 and is based in Newbury, the United Kingdom.

Buy -