Dell to pay $2.4B for IT management software firm
- By David Hubler
- Jul 02, 2012
Dell Inc. will pay approximately $2.4 billion in cash, or $28 per share, to acquire Quest Software, an IT management software provider, the companies announced today.
Dell recently formed its Software Group to build upon its existing software expertise and add to its enterprise solutions capability. Quest’s family of software solutions and key technologies are strongly aligned with Dell’s software strategy, the July 2 announcement said.
The acquisition will provide critical components to expand Dell’s software capabilities in systems management, security, data protection and workspace management.
In addition, Quest’s software portfolio is highly complementary to Dell’s scalable design approach to develop solutions that scale with customer needs, the news release said.
Quest, of Aliso Viejo, Calif., generated $857 million in global revenue in its fiscal 2011.
The company has approximately 3,850 employees and serves more than 100,000 customers worldwide, including 87 percent of the Fortune 500.
The transaction is expected to close in Dell’s third quarter, subject to approval by Quest’s shareholders and customary conditions.
Dell Inc., of Round Rock, Texas, ranks No. 19 on Washington Technology’s 2012 Top 100 list of the largest federal government contractors.
David Hubler is the former print managing editor for GCN and senior editor for Washington Technology. He is freelance writer living in Annandale, Va.