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Dow Jones Newswires: Akamai to buy Linode for about $900 million

Akamai Technologies Inc. said Tuesday it agreed to acquire infrastructure-as-a-service platform provider Linode in a deal valued at about $900 million.

Akamai
AKAM,
+0.34%

said it acquire all outstanding equity of Linode Limited Liability Co. and expects the acquisition to add about $100 million in revenue in fiscal year 2022. The deal will also add to non-GAAP EPS by 5 cents to 6 cents, Akamai said.

Because it structured the deal as an asset purchase, Akamai “expects to achieve cash income tax savings over the next 15 years that have an estimated net present value of approximately $120 million.”

The deal is expected to close in the first quarter of this year.

Write to Stephen Nakrosis at stephen.nakrosis@wsj.com

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