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AttachmateWRQ Thursday said it will acquire NetIQ for $495 million to create a stronger company offering enterprise software products.
NetIQ sells systems and security management products that help IT administrators ensure policy compliance and manage service levels. AttachmateWRQ's products allow administrators to make corporate data accessible to more users and also manage and secure enterprise systems. Combined, the companies will be able to offer a wider array of products to customers, AttachmateWRQ said.
AttachmateWRQ will pay cash for NetIQ shares, the company said. NetIQ, in San Jose, will operate as a business unit within AttachmateWRQ, which is in Seattle.
The acquisition has been approved by the boards of both companies and is expected to take around 90 days to close, AttachmateWRQ said.
Attachmate Corp. and WRQ Inc. merged last year to form AttachmateWRQ, a company owned by a group of investors. At the time of the merger, AttachmateWRQ executives hinted that the new company might make acquisitions in the future.
The NetIQ acquisition follows an announcement in March that AttachmateWRQ acquired OnDemand Software for an undisclosed amount.
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