Cloud services provider Akamai Technologies has agreed to acquire US-based telecommunications software provider Nominum for an undisclosed sum in a deal that will provide an exit for network technology provider Juniper Networks.
Founded in 1999, Nominum provides domain name system (DNS) software for telecoms providers focusing on network infrastructure and security. Akamai plans to add the company’s security capabilities to its portfolio of cloud hosting and streaming services.
Akamai will pay an undisclosed cash amount for Nominum and the transaction is expected to close by the end of 2017. Nominum had previously raised approximately $45m in equity funding, according to a press release announcing the acquisition.
The company most recently raised $14m in a 2005 series D round led by Advanced Technology Ventures and backed by Silicon Valley Bank (SVB), Bessemer Venture Partners, Morgenthaler Ventures, Globespan Capital Partners and Presidio Venture Partners.
Juniper Networks invested an undisclosed amount in Nominum the same year, after it had closed a $10m series C round in 2003 that included Globespan Capital, SVB, Bessemer and Morgenthaler. The latter two had co-led Nominum’s $10m series B round in 2002.
Domain name registrar Network Solutions, merchant banking firm OmniFirst and undisclosed individual investors had previously invested $5m in the company in 2000.
Robert Blumofe, executive vice-president at Akamai, said: “We believe this acquisition is a key investment in our security capabilities because Nominum will bring complementary technology, engineering, technical support and sales talent to better reach and serve our carrier partners and their enterprise customers.”