IBM Buys Internet Security Firm For $1.3 Billion

IBM Corp. said Aug. 23 it was buying Internet Security Systems Inc. (ISS) for $1.3 billion to expand its reach into secure online networks. The Atlanta-based ISS says it helps to "proactively protect" its 11,000 customers, including some of the world's leading companies and governments, against Internet threats across networks and servers.

"Together, IBM and ISS will help clients of all sizes preemptively stay a step ahead of targeted security threats or attacks," the companies said in a joint statement.

The companies said they expected to close the deal by the end of the year. IBM's purchase price comes to $28 per ISS share, a premium of about 8% on the security firm's closing price Tuesday of $26.

Copyright Agence France-Presse, 2006