Cisco Acquires Sourcefire for $2.7 Billion

Cisco announced on Monday that has completed the acquisition of network security firm Sourcefire.

Under the terms of the agreement, which was announced on July 23, Cisco is paying $76 per share in cash in exchange for each share of Sourcefire and assuming outstanding equity awards for a total purchase price of roughly $2.7 billion, including retention-based incentives.

With the completion of the transaction, Sourcefire employees join the Cisco Security Group led by Christopher Young, senior vice president, Cisco Security Group. Additionally, Martin Roesch, founder and chief technology officer of Sourcefire, becomes vice president and chief architect for Cisco’s Security Group reporting directly to Young.

Cisco promised ongoing support for open source innovation and said it would continue to support Snort, ClamAV and other open source projects.

Columbia, MD-based Sourcefire was founded in 2001 and went public in 2007, and has more than 650 employees worldwide. Sourcefire reported 2012 revenue of $223.1 million.

All shares of Sourcefire were expected to be delisted from the NASDAQ stock market by the close of business on Monday, Cisco said.