Unlocking the Secrets: Exploring LifeLock's Journey and the Symantec Acquisition

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Updated: July 06, 2023
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Reading Time: 8 Min
 Unlocking the Secrets: Exploring LifeLock's Journey and the Symantec Acquisition


Lifelock protects customers from "Identity theft." He agreed with banks and other consumers of documents and learned about each use of each SSN. The user pays for a subscription and receives the Push whenever his number is used somewhere. If a person drinks tea at home, he presses the red button, and everyone starts running.


Symantec bought Lifelock for more than 2 billion dollars even before my review. Other news about the company will most likely never be.


Symantec acquired the company to protect the confidential data of LifeLock users for $ 2.3 billion to form "the world's largest digital security platform for customers and families." The transaction, which has already been confirmed by the boards of directors of both companies, should be closed in the first calendar quarter of 2017.


American Symantec Corp., one of the world's leading developers of computer programs for data security, is buying a solution provider for the information security industry, LifeLock Inc., for $ 2.3 billion.


The merger of the two companies will lead to the creation of the world's largest platform for digital security for consumers and families, according to a press release from Symantec.


Symantec will pay $24 per LifeLock share, 16% higher than the market closing price on November 18.


The deal was approved by the boards of directors of both companies but required the consent of LifeLock's regulatory bodies and shareholders. The companies expect to close the deal in the first quarter of 2017.



Symantec plans to finance the deal through the funds at its disposal and intends to raise $750 million by placing debt obligations.


The purchase of LifeLock will not affect the financial performance of Symantec in the third fiscal quarter ending December 30, 2016, and will not have a significant impact on annual results, the company said. Symantec confirmed revenue forecast for the current fiscal year at $ 4.04-4.12 billion, profit - $ 1.12-1.18 per share.


"As we all know, consumer cybercrime has reached crisis levels. LifeLock is the leading provider of services to protect against identity theft and fraud, with a growing base of 4.4 million very satisfied customers. We can provide customers full cyber protection by combining Norton and LifeLock."


Said Symantec CEO Greg Clark. He added that with this acquisition, the security industry will no longer focus solely on protecting against malicious software and will become a broader category.


According to sources close to Bloomberg, private investment companies Permira, TPG, and Evergreen Coast Capital also considered buying LifeLock, which had been negotiating for sale over the past few months.


Symantec is confident that Norton Security and LifeLock will be able to create "the world's largest business to provide customer security with more than $ 2.3 billion in annual revenue, based on the revenues of both companies in the last financial year." 


It is assumed that by combining the power of these two products, Symantec will reach the 80 million target market for people becoming more worried about cyber-security every day.


LifeLock became a public company in October 2012; this year, its shares jumped by about 40%, bringing its market capitalization to about $ 1.95 billion. LifeLock employs more than 850 people based in Tempe, Arizona. She also has San Diego, San Francisco, and Mountain View offices.



Did you know the Executive Director of LifeLock had a stolen identity 13 times?


In 2007, the face of Todd Davis was everywhere. On billboards, buses, benches for parking, you call it. The CEO of LifeLock was represented in television and print advertising, and he came up with the bold assertion that his monthly service would eliminate the threat of identity theft or his company would support it with coverage of 1 million dollars—the USA. 


Then, to go home, he showed his social security number in all advertisements, and most brave people tried to steal his identity. As these advertisements began to spread, Davis had his identity stolen 13 times, possibly more.



The Phoenix New Times reports that LifeLock CEO has at least 13 times more personality, starting with his social security number placement. The LifeLock service was supposed to guarantee that subscribers who paid $15 a month would face a secure online presence without identity theft. As for how the service works, it is not.


In March of this year, the Federal Trade Commission fined LifeLock $12 million and essentially announced that the service was fraudulent. The idea is so simple that you can do it yourself, and if there is a certain threat, you must. 


When you think your identity has been stolen, you can name one of three large credit companies: TransUnion, Experian, or Equifax. As soon as you contact one of the three and tell them about the possible theft, the other two will be informed, and in your account, a "fraud alert" will be indicated. 


If the thief then tries to launch a credit card under the stolen name, for example, card issuers would check the name with one of the three credit companies, and if there is a flag, they will contact the person whose identity was stolen. The fraud flag expires in three months. 



For $15 a month, LifeLock will call credit companies every 90 days and ensure that the fraud flag remains on the person's credit accounts indefinitely. That's all. They also offer a form of insurance of up to $1 million.


Because of Davis' bold statements about immunity from the theft of online identity, he accumulated a loan of $500, several unpaid cell phone bills, and thousands of dollars in credit card debts that were the direct result of identity theft. Perhaps even more thefts were reported, which were also not reported.