By Katey Stapleton, Benzinga Staff Writer

Dell (DELL), which is trying to transform itself into a full-service technology provider for businesses, has bought a network security company for a reported $1.2 billion.

Dell announced Tuesday that it will acquire privately-held SonicWall, which makes tools that help companies filter Internet content, secure their Internet access and protect digital communications between offices.

While details are being kept under wraps at the moment, FBN Securities said the deal could cost Dell around $1 billion. The Wall Street Journal reported a price tag of $1.2 billion.

The deal, which is expected to close in the second quarter, expands Dell's security offerings, analysts with FBN said in a research note. Dell has made acquisitions in this area before, picking up information-security​ company SecureWorks last year and systems-management company KACE in 2010, the analysts added.

SonicWall offers four key firewall products: the high-end SuperMassive, E-Class NSA, NSA and TZ. SonicWall has long been affiliated with Dell, bringing an estimated 300,000 customers to the company over the years.

After making its name in the consumer PC sector, Dell has begun a shift into the more profitable area of business computing. It's trying to position itself as an end-to-end provider of all the hardware and software a medium to large-sized company would need, from servers to laptops. Computer and network security are a vital part of that offering, which is where SonicWall comes in.

"We are building a strategic software portfolio to address the needs of our customers," John Swainson, president of Dell's software group, said in a statement. "Our customers see security as a key IT concern for the foreseeable future."

The buyout firm selling SonicWall to Dell, Thoma Bravo LLC, will become better capitalized after the deal pulls through. It may end up making a bid for Brocade Communications Systems (BRCD), according to FBN Securities.

The acquisition won cheers from some investors. Dell's share price rose 1.6% Tuesday to close at $17.23. Jefferies commented in a research report that Dell has calculated quite the strategic impact through this merger, regardless of time playing a role.

"Dell will be able to leverage its distribution and customer relationships to sell more SonicWall product," Jefferies commented, maintaining its "hold" rating and $17 price target on the company." We think this adds more tools to Dell's cloud stack but that a more unified offering is unlikely before [2013]."