Dell Dumps $2.4 Billion into Quest Software Acquisition

[[Coi] Mr.CLuBBeR]

Dell may have to change its name to Daddy Big Bucks with the way it's throwing around cash in recent times. Having already made a number of software purchases this year, including a deal for for SonicWall back in March reportedly worth $1.2 billion, the latest domino to fall into Dell's hands is Quest Software. Dell has agreed to pay $28 per share in cash for each share of Quest, valuing the purchase price at around $2.4 billion.

"The addition of Quest will enable Dell to deliver more competitive server, storage, networking and end user computing solutions and services to customers," said John Swainson, president, Dell Software Group. "Quest’s suite of industry-leading software products, highly-talented team members and unique intellectual property will position us well in the largest and fastest growing areas of the software industry. We intend to build upon the strong momentum Quest brings to Dell."

Quest Software sparked a bidding war of sorts after announcing in March that it would be bought out for $23 per share (around $2 billion) by Insight Venture Partners. According to Dell, Quest's diversified software portfolio raked in $857 million in global revenue in 2011. The company serves more than 100,000 customers, including 87 percent of Fortune 500 companies, and employes 3,850 workers.

Image Credit: Dell

Follow Paul on Google+, Twitter, and Facebook





More...