CA Acquires NetQoS for $200 Million

NY-based CA has announced the acquisition of NetQoS today for $200 million in an all-cash transaction.  CA trades on the NASDAQ under the symbol CA. NetQoS had annual revenue of $56 million in 2008 and has over 1,000 active customers worldwide.

The release talks about the combined technologies of both companies and the strengths for their customers. The combined companies, “will further strengthen its ability to help enterprise IT organizations and service providers deliver reliable, flexible and cost-effective IT and business services.”

They also discuss cloud computing and note, “As enterprises and service providers become increasingly reliant on the shared infrastructure of private and public computing clouds, CA and NetQoS will provide a robust level of network and systems traffic management that will be critical to successfully delivering cloud-based services.”

From the release, “At the close of the transaction, Joel Trammell will join CA as senior vice president and general manager, and Dr. Cathy Fulton, NetQoS chief technology officer and executive vice president of Products, will join CA as senior vice president, Software Engineering. Initially, NetQoS will operate as an independent entity within CA’s Infrastructure Management and Automation business unit”. The release also notes that a “majority” of NetQoS’ 250 employees will remain on with CA.

The deal is expected to close by December 31.