GURGAON, INDIA: McAfee announced the execution of a definitive merger agreement to acquire Secure Computing Corporation for $5.75 per common share in cash, without interest, representing an equity value for Secure Computing's common stock of approximately $413 million in the aggregate. 

In addition, Secure Computing's outstanding shares of preferred stock will also be redeemed for cash as part of the proposed transaction, which would be an additional $84 million. 

In total, net of cash held by Secure, the proposed transaction would be valued at approximately $465 million.

"Today's announcement of this pending acquisition is a natural extension of McAfee's security-only focus," said Dave DeWalt, CEO and President, McAfee. "We expect the pending combination of McAfee and Secure Computing will create an annual projected combined revenue of just under $500 million in the network security segment of our SRM portfolio. We believe that this pending acquisition will allow us to immediately establish a leading and highly competitive position in the network security space."