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LEHI — Lehi-based DigiCert more than tripled in size Wednesday when the security company acquired a portion of Silicon Valley giant Symantec, according to a DigiCert press release.
Founded 14 years earlier, DigiCert has become a leader in the world of internet security, specializing in identity and encryption for web servers and Internet of Things devices. Now, it will acquire Symantec’s website security division, as well as the security conglomerate’s public key infrastructure solutions — the technology behind DigiCert’s encryption.
Symantec is the world’s leading cybersecurity company.
“Today starts an exciting era for the current customers and partners of both Symantec and DigiCert,” said DigiCert CEO John Merrill in a news release. “For Symantec customers, they can feel assured that they will have continuity in their website security and that we will provide a smooth transition. … DigiCert is prepared for this opportunity.”
After the acquisition, DigiCert’s number of employees skyrocketed from around 300 to over 1,000, according to company spokesman Jeff Chandler. DigiCert also secured a portion of Symantec’s massive, global customer base, including top enterprises like international banks and retailers, and can now boast locations in California and internationally.
Despite Symantec’s prime Silicon Valley location, DigiCert’s headquarters will remain in Lehi, though the company can’t yet confirm how many local jobs the acquisition will create. Chandler says DigiCert has already hired a significant amount of new employees.
“It kind of shows the maturity of the Utah tech sector because, in the past, businesses like Novell or Word Perfect grew up and got sold and moved elsewhere,” Chandler said. ”Headquarters is where the controls are, where the management team is, a lot of the good positions. So I think it’s exciting for the local economy.”
It’s unknown what percentage of Symantec the acquired divisions comprised, but Symantec received $950 million in upfront cash proceeds from DigiCert and will retain about a 30 percent stake in the common stock equity of the local company.
“(This acquisition) positions us as a global leader in the market, but ultimately more important than that, I think it just gives a great opportunity to expand upon what we’ve already done well as a company,” Chandler said. “We’ve always been really focused on our customers and their success, and we’ve always been an innovator in our industry … (now) we’ll be able to take all those things and apply that to a much larger customer base.”
