Quest has been sold for $2.4 billion to American computer maker Dell.
Dell started in selling low-edge tin boxes with a realization of building up a strategy to improve company performance. It has made its way in servers and just recently occupied an area in the software industry. Quest is known for its progress in the field of IT management, with outstanding software performances. It gives the firm an eye for a number of suitors.
Dell’s acquisition of the firm for $2.4 billion ($28 per share) is a dream come true with the company’s persistence in pursuing Quest, which created a buzz for some time. With Quest recording $857 million in 2011 revenues and a significant increase in gross profit margins, the deal sounded reasonable to both parties. Quest reportedly allots its largest budget on sales and marketing, giving a chance for Dell to use existing sales channels to improve company profitability.
SonicWALL and SecureWorks are two of Quest’s security brands that Dell plans to continuously offer in the market. Note that Quest’s primary business engages in IT management.
“The addition of Quest will enable Dell to deliver more competitive server, storage, networking and end user computing solutions and services to customers. 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”, commented Dell’s Software Group president John Swainson.
Closing of the deal is set during Dell’s third financial quarter and is subject to Quest shareholder approval.