IBM

(IBM) - Get Report

agreed to buy

Internet Security Systems

(ISSX)

for $28 a share, or $1.3 billion, in cash.

The deal offers holders of Atlanta-based Internet Security an 8% premium to Tuesday's closing prices.

IBM said the acquisition advances its strategy to utilize IT services, software and consulting expertise to automate labor-based processes into standardized, software-based services that help clients optimize and transform their businesses.

This acquisition also reinforces IBM's position in the rapidly growing area of Managed Security Services. With concerns ranging from data theft to implementing and managing increasingly complex regulatory requirements, addressing IT security has become one of the most complex challenges companies are facing, regardless of size, location or industry.