Publicly listed firm IPVG Corp. (IPVG) has announced the acquisition of Prolexic Technologies Inc. (Prolexic), a United States-based managed security service provider of distributed denial of service (DDOS) mitigation solutions, the company said.

IPVG has initiated a stock purchase agreement with stockholders of Prolexic for the purchase of 100 percent of the company’s capital stock, IPVG said in a disclosure.

IPVG CEO Enrique Gonzalez said the acquisition is part of the company’s entry into the global communications market.

“With Prolexic, we are positioned to become the leading DDOS mitigation provider in the world with operations in the US, Latin America, Europe and Asia,” Gonzalez said, noting the continued demand for Internet security solutions for the enterprise market.

IPVG is investing a total of $ 10.5 million for this acquisition.

DDOS attacks involve flooding target web servers to slow down or even deny legitimate traffic. This type of attack is often used to target systems of banks, credit card payment gateways, among others. Prolexic has recently seen more sophisticated ways of how DDOS is being used to target popular websites or online services using hijacked computer systems or peer-to-peer networks.

IP-Converge Data Center Inc., the data center subsidiary of IPVG, has reportedly prevented DDOS attacks within its customer networks.