Friday, June 10, 2005 - Glass Lewis Recommends Against Symantec-Veritas Merger - Glass Lewis Recommends Against Symantec-Veritas Merger: "Shareholders should reject Symantec Corp.'s (SYMC) proposed merger with Veritas Software Corp. (VRTS), proxy research firm Glass Lewis & Co. said Thursday.
In a 22-page report laying out its objections, Glass Lewis called the combination, valued at $13.5 billion when it was announced in December, too expensive and not strategic enough for the security software vendor.
'It is unusual for us to oppose a deal,' says Kevin Cameron, Glass Lewis's president. But the combination 'is rich even by technology (merger) standards.'
Investors fear Microsoft Corp.'s (MSFT) move into the anti-virus software market will hurt Symantec's business. For that reason, the company is trying to diversify its revenue.
But "we believe that a combined security/storage solution would offer no competitive advantage against Microsoft in the consumer anti-virus market," Glass Lewis said."
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