VeriSign to Buy Out Network Solutions

VeriSign Inc., said today that they plan to buy Network Solutions Inc. in a $21 billion deal. Under the deal, VeriSign, will “issue 2.15 shares of its stock for each share of Network Solutions that existed prior to a 2-for-1 split due to be completed on Friday,” according to the press release.

The companies said that the deal already has been approved by both companies' boards, but still must be approved by shareholders. Network Solutions will become a subsidiary of VeriSign and that Network Solutions chief executive officer Jim Rutt will continue as CEO of the subsidiary.

"VeriSign and Network Solutions have a longstanding partnership, which makes this combination a natural evolution for our business and for the Internet,"
said Jim Rutt, CEO of Network Solutions.

"Combining the two most trusted brands in Internet infrastructure provides millions of businesses and consumers with the confidence to conduct a broad range of e-commerce activities, from their first online experience to high value transactions and advanced communications."

The acquisition is expected to close in the third quarter.