Storage giant Seagate Technology said Tuesday it will buy Dot Hill Systems Corp. in Longmont for $694 million.
The deal values Dot Hill at $9.75 per share, about 50 percent higher than the average per-share price during the past three months.
Dot Hill, a maker of software and hardware storage systems, employs about 260 people in Longmont and about 70 in offices worldwide. Cupertino, Calif.-based Seagate has about 1,400 employees in Longmont.
Company officials were not available to comment late Tuesday.
However, in a news release Seagate’s president of cloud systems and electronics solutions, Phil Brace, called Dot Hill’s intellectual property portfolio a “strategic addition to our storage portfolio, enabling us to accelerate the growth of Seagate’s OEM-focused cloud storage system and solutions business.”
The deal has been approved by Dot Hill’s board of directors and is expected to close during the fourth quarter.
