Cisco Buys ArrowPoint for $5.7 Billion Cisco Buys ArrowPoint for $5.7 Billion Paul Jones
Cisco Systems Inc. resumed its torrid buying spree Friday, grabbing content switch provider ArrowPoint Communications Inc. in a stock deal totalling about $5.7 billion.
Cisco will exchange 2.1218 shares of Cisco common stock for every outstanding share and option of ArrowPoint Communications. The acquisition is expected to be completed in Cisco's fiscal fourth quarter.
The purchase of ArrowPoint should fit nicely for Cisco (CSCO), which has been snatching up optical Net infrastructure firms in the past year in the hopes of gearing up its "New World" strategy of offering clients better content networking solutions. ArrowPoint is a leading provider of content switches that optimize the delivery of Web content.
