A10 Networks acquired Appcito, Inc. for approximately $6.5 million (total purchase consideration), a transaction completed in June 2016, structured as combination - $5.0 million cash (less a $0.7 million indemnification holdback) plus 227,404 unregistered A10 common shares valued at $1.3 million. The deal was a Asset purchase.
Appcito, Inc. operates in Application delivery / cloud-native ADC, is based in Santa Clara, California, USA and Bangalore, India. A10 entered an asset purchase agreement on June 23, 2016 to acquire substantially all of the assets of Appcito, a privately held company providing a unified set of services for applications deployed on cloud infrastructure, with facilities in Santa Clara, California and Bangalore, India. The purchase-price allocation recorded $5.05 million of developed technology, $1.2 million of goodwill, and $58 thousand of other tangible assets. The acquired technology became the foundation of A10's cloud-native Lightning Application Delivery Service (Lightning ADS), an ADC-as-a-service SaaS platform.
A10 said the deal enhances its position as a comprehensive secure application services leader and represents a strategic step in its vision to help customers become more secure and agile as they bridge traditional data center and cloud application environments.
Integrated into A10's product line; launched as the cloud-native Lightning Application Delivery Service (Lightning ADS).
We took a strategic step to accelerate the A10 Harmony vision and expand our addressable market with the acquisition of Appcito. Appcito is a cloud-native subscription service that maximizes the agility and improves the visibility and security of enterprise applications deployed in the cloud.Lee Chen, President and CEO, A10 Networks
Advisory firms were not disclosed for this transaction.