Cisco To Acquire Reactivity

Cisco Systems Inc. (Nasdaq: CSCO) has agreed to acquire Reactivity Inc., a Redwood City, Calif.-based XML gateway provider for the enterprise. The deal is valued at approximately $135 million in cash and assumed options of Reactivity, and is expected to close by the end of April. Reactivity has raised around $50 million in VC funding since 2000, including $24 million in Series A funding at a $52.3 million post-money valuation and a 2003 Series AA recap. Backers include Accel Partners, Austin Ventures, Diamondhead Ventures, JK&B Capital and Maveron.