Kape Technologies Plc has agreed to buy ExpressVPN in a $936 million deal that will more than double the cybersecurity company’s customer base and expand its tools for private web surfing.
Kape will pay $354 million in cash when the deal closes and the equivalent of $237 million in shares, which can be sold after a 24-month lockup, the company said in a statement on. Another $345 million in cash will be paid in two installments, 12 months and 24 months after the close. The deal still needs approval from regulators.
The British Virgin Islands-based virtual-private-network operator will more than double Kape’s customer base to over 6 million users. ExpressVPN lets users pay to access the internet via servers that hide their computers’ location and activity and offer more privacy.
Kape Chief Executive Officer Ido Erlichman said it will complement the company’s cybersecurity tools to help users “protect their data and rights.”
Kape will finance part of the final $345 million payment with a loan, the company said.
ExpressVPN will join Kape’s other brands, which include CyberGhost VPN, antivirus software maker Intego, Zenmate VPN and computer-system repair tool Restoro.