Symantec is selling its Veritas information management business for $8 billion in cash with plans to funnel proceeds back into its main line of work, cybersecurity, and buy back shares.
The Mountain View, California, company says private equity investment firm The Carlyle Group and Singapore's sovereign wealth fund, GIC, will acquire the business in a deal expected to close Jan 1.
Symantec Corp. expects about $6.3 billion in net proceeds. It says the sale will give it a financial foundation to expand its security business and return of capital to shareholders.
The company says its board has approved a $1.5 billion increase in its share buyback program, and it has decided to maintain its quarterly cash dividend at 15 cents per share.