The massive acquisition of Ann Arbor-based Duo Security Inc. has closed, settling the cybersecurity company in the arms of a San Jose, Calif.-based global networking firm.

Cisco Systems Inc. (NASDAQ: CSCO) acquired Duo Security for $2.35 billion, the companies announced Monday in a news release. Cisco announced its intent to do so in August.

It is believed to be the biggest acquisition of a venture capital-backed startup in Michigan history. From an investment standpoint and the example it sets, it's expected to have cascading ripple effects in the region.

The takeover of Duo Security comes about a year after a venture capital funding round valued the quickly growing cybersecurity enterprise at $1.17 billion.

Cisco acquired Duo Security for cash and assumed equity awards for the company's outstanding shares, warrants and equity incentives, the release said.

Co-founder Dug Song is staying on with his 8-year-old internet security provider as general manager under Cisco's networking and security unit led by David Goeckeler. Song's co-founder, Jon Oberheide, will stay on as well, but his title and role are yet to be determined.

Cisco spokesman Jim Brady said in August that the company planned to take on the "vast majority" of Duo Security's more than 700 employees and expand its presence in Michigan. Brady did not immediately respond to a request for comment Monday.

"Duo's people-centric, zero trust security model allows secure connections to applications — whether on premises or in the cloud," Gee Rittenhouse, senior vice president and general manager of Cisco Security, wrote in a blog post on the deal. "Together, Cisco and Duo are designing infrastructure for the extended enterprise where users, devices and applications are the center of the modern security architecture."