Computer manufacturer Dell has announced that it has bought the US software firm Quest for $2.4bn (£1.53). Dell outbid rivals Insight Venture Partners for the deal which values Quest's shares at $28 each. The deal is still subject to shareholder approval, but is expected to be closed by the end of the year.
Quest makes software to enable firms to manage their own computer systems and Dell said the deal would help cement its position in the profitable software sector. Dell's President of Software, John Swainson, said, "The addition of Quest will enable Dell to deliver more competitive server, storage, networking and end user computing solutions and services to customers,"
The announcement from Dell has ended several weeks of speculation about who the rival bidder to Insight was, after the firm's $23 per share offer was bettered. Dell has said that the acquisition will take the revenue for its software business to $1.2bn annually.
Vinny Smith, the Chief Executive of Quest, said the deal would see his firm's products and employees providing a "foundation” for Dell's software business.