UK-based cybersecurity firm Avast in merger talks with NortonLifeLock

UK-based cybersecurity firm Avast Plc said on Wednesday it was in advanced talks about a merger with colleague NortonLifeLock Inc.

If the deal goes through, it will be a cash-and-share offer, Avast said. However, the company added that there was no assurance that a deal would be struck.

NortonLifeLock confirmed late Wednesday that it was in talks with Avast about a possible combination, without giving any further details.

Avast makes free and premium security software for desktop and mobile devices under the Avast and AVG brands. It has a market capitalization of 5.20 billion pounds ($7.21 billion), according to data from Refinitiv.

The deal would help Tempe, Arizona-based NortonLifeLock, which primarily focuses on consumer cybersecurity, to expand its focus into consumer software.

NortonLifeLock was previously known as Symantec Corp, before selling its enterprise security business to Broadcom in 2019. It currently sells Norton antivirus software and LifeLock identity theft protection products for home and work.

Shares of NortonLifeLock fell as much as 4% after the Wall Street Journal first reported that NortonLifeLock plans to buy Avast. The company’s shares were trading flat after the bell.