EMC announced its plan to acquire Virtustream – a cloud software and service provider – in a deal valued at approximately $1.2 billion.

EMC plans to merge its Federation Enterprise Hybrid Cloud offering with Virtustream’s portfolio for a comprehensive managed cloud services business designed to support all applications, workloads, and cloud models. According to a press release from EMC, the acquisition of Virtustream “represents a transformational element of EMC’s strategy to help customers move all applications to cloud-based IT environments.”

Found in 2009, Virtustream is one of the world’s fastest-rising cloud software and service companies designed to migrate, run, and manage mission-critical applications in the cloud. EMC’s Information Infrastructure CEO, David Goulden, said in a statement, “As IT organizations race to keep pace with the demands of the modern and rapidly changing business, they need to leverage both private and public clouds. The EMC Federation Enterprise Hybrid Cloud Solution enables customers to deploy rapidly a hybrid cloud that incorporates the best of both. Today’s news completes the picture, culminating in what customers want most, a one-stop-shop experience for their entire hybrid cloud needs.”

Virtustream’s Chairman and CEO Rodney Rogers said, “Virtustream has established itself as an industry leader and innovator for running mission-critical enterprise applications in the cloud. We’re proud to be joining the EMC Federation where our combined capabilities, products and services will allow us to accelerate our vision of delivering the platform of record for enterprise systems, and address the complete breadth of cloud computing needs,” in a statement regarding the acquisition.