Nov 29 (Reuters) - Clearlake Capital Group said on Monday it
would buy Quest Software from Francisco Partners, as the
investment firm seeks to tap into the pandemic-spurred surge in
demand for enterprise software and cybersecurity tools.
The deal values Quest at $5.4 billion, including debt, a
source familiar with the matter told Reuters.
Quest, which counts companies like Microsoft Corp,
Ford Motor Co and Merck & Co as its customers,
provides solutions spanning from database management to data
protection to IT departments.
Clearlake expects the deal to close in the first quarter of
2022, saying it would hold a majority stake in Quest and its
chief executive, Patrick Nichols, will continue to lead the
The private equity firm, with about $43 billion in assets
under management, has been ramping up investments in the
software sector as remote working trends gain momentum during
In August, Clearlake said it would take management software
provider Cornerstone OnDemand private for about $3.8 billion.
The announcement also comes just weeks after a consortium
led by U.S. private equity firm Advent International agreed to
take cyber security firm McAfee Corp private in a $14
The Wall Street Journal first reported Clearlake's deal with
Quest on Sunday.
(Reporting by Chavi Mehta in Bengaluru; Editing by Ramakrishnan