UK based Zeus Technology got acquired by Riverbed

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Ok, the Cambridge based company Zeus Technology isn’t really a startup anymore – but I guess that it’s worth knowing that it got acquired today for about $140 million. Zeus Technology was founded in 1995 and develops traffic management and load balancing software.

The US based buyer, a IT performance company called riverbed, today announced that it has acquired Zeus Technology. Zeus will become a new business unit of Riverbed®, led by the former CEO of Zeus, Jim Darragh.

Zeus pioneered the development of software-based highly scalable application delivery controllers (ADCs). The company’s virtual ADC solutions are used by over 1,500 customers worldwide, including 7 of the top 10 telcos, a majority of the leading cloud service providers, major broadcasters, and top media and e-commerce companies.

Jerry Kennelly, president and CEO at Riverbed, stated: “Our goal is to have the broadest and best portfolio of performance optimization products to solve a range of customer performance problems. The acquisition of Zeus is a perfect fit with that strategy. The Zeus solutions are designed for how people want to architect their applications now—high-performance software for cloud environments.”

“The ADC market is expected to grow about four times faster than the traditional ADC market over the next 4 years,” continued Kennelly. “Zeus is well positioned within this market as customers look for ADC solutions for public and private clouds that truly integrate into their application stack.”

Under terms of the acquisition, Riverbed will pay approximately $110 million in cash for the securities of Zeus and up to an additional $30 million in cash based on the achievement of certain bookings targets in a defined 12 month period following the closing.