Dell has confirmed reports that it is to buy IT management software provider Quest, boosting its transformation from hardware vendor to "end-to-end" IT solutions provider.
The acquisition follows a months-long bidding war between Dell and private investment firm Insight Venture Partners. Dell will pay $2.4 billion for Quest, $350 million more than it reportedly offered in June.
In a statement, Dell said Quest’s technology was "strongly aligned with Dell’s software strategy", adding that the acquisition will provide "critical components to expand Dell’s software capabilities in systems management, security, data protection and workspace management".
"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.
Dell said that the transaction is expected to close in the third quarter of this year, subject to Quest shareholder approval.