Spirent Communications agreed to acquire Mu Dynamics, which offers a network security and application performance testing tools, for $40.0 million in cash.
Mu Studio, the company’s flag ship product line, enables performance and security testing of cloud infrastructure, including network security systems, deep packet inspection (DPI) solutions, and LTE networks. Its Blitz is a self-service load and performance testing solution for cloud applications. Mu TestCloud compiles thousands of ready-to-runs tests, covering hundreds of applications.
Spirent said it plans to continue selling, supporting and enhancing the existing Mu solutions and integrating them with Spirent’s test platforms. With the newly acquired property, Spirent’s testing suite includes:
Spirent TestCenter, Avalanche and Landslide – Networks and applications testing with market-leading performance, user emulation and encryption with mobility
Studio Security – Cyber security and resiliency assessment with millions of prebuilt protocol fuzz tests
Studio Performance – Rapid development of realistic application traffic with thousands of ready-to-run business and consumer applications as test content
Blitz – Unique Cloud-based application performance management platform.
Spirent expects to consolidate $9.0 to $10.0 million in revenue post-acquisition in 2012, with a positive return on sales. For the first full year post-acquisition in 2013, revenues are expected to be in the range of $17.0 to $19.0 million operating at Spirent’s average return on sales, resulting in a positive enhancement to earnings and achieving an attractive return on investment, in line with Spirent’s objectives.
