MARLBOROUGH, Mass. -- 3Com Corporation (NASDAQ: COMS - News) today announced its intention to execute an initial public offering (IPO) of common stock of its wholly owned subsidiary TippingPoint. TippingPoint is a leading provider of network-based intrusion prevention systems (IPS) and Digital Vaccine attack filter services for enterprises, government agencies, service providers and academic institutions. 3Com expects to file a registration statement related to the IPO by the end of the calendar year.
"We believe this move will enable 3Com and TippingPoint to focus on their core strengths, target markets and strategic goals," said Edgar Masri, 3Com's President and Chief Executive Officer. "The decision to IPO TippingPoint enables 3Com to focus more closely on its core business - delivering integrated secure, converged network infrastructure solutions to enterprises and increasing H3C sales worldwide. This move also reinforces 3Com's commitment to its Open Services Networking (OSN) strategy of providing organizations worldwide with high-quality, low-cost, secure networking infrastructure solutions that enable the convergence of applications and emerging technologies into the network."
3Com intends to remain a majority TippingPoint shareholder following the IPO and plans to reduce its ownership over time in subsequent transactions. 3Com will consolidate TippingPoint results in its quarterly and annual financial reports in accordance with GAAP for the foreseeable future.
3Com Corp. (Nasdaq: COMS)