Syniverse Technologies is set to acquire Verisign Inc’s mobile messaging business in a cash deal worth $ 175 million. The two parties entered into a definitive agreement towards the same. Verisign’s mobile messaging business reported annual revenue of around $ 140 million.

Syniverse aims to combine its NEXTSM Advanced Messaging Hub with four of Verisign’s operator and messaging solutions namely Inter-Carrier Gateway, PictureMail, Premium Messaging Gateway and Mobile Enterprise Solutions.

 “This acquisition will benefit both global operators and subscribers,” said Tony Holcombe, President and CEO, Syniverse. “As mobile messaging volumes continue to experience double-digit growth, Syniverse will have the scale, reach and capabilities needed to provide mobile operators – large or small – with greater vendor choice and faster time to market for the services subscribers demand. Ultimately, the mobile consumer will benefit from more messaging services and applications.”

“Through this acquisition we will not only grow our top line revenue through new offerings that serve operators’ and enterprise customers’ growing need for messaging services, but will also achieve the solutions scale and reach that is needed to compete globally in an expanding messaging market,” added the CEO.

The deal will result in 300 employees primarily located in the USA and Asia Pacific including 100 in India coming under Syniverse fold.

The transaction is subject to customary closing conditions and regulatory approvals. Deutsche Bank and Alston & Bird LLP served as financial advisors to Syniverse for the deal.