IBM to buy Capital Solutions for $1.2bn

IBM is buying Capital Solutions, a company that provides solutions to financial institutions, for $872m, the Wall Street Journal reported on Thursday.

The deal will create a new private equity fund that will focus on the acquisition and expansion of its financial services business.

“We believe the right people will be able to create a team that is able to lead and to execute on our mission to provide solutions that meet the needs of our clients and customers,” IBM chief executive Ginni Rometty said in a statement.

Capital Solutions will continue to focus on its financial technology solutions.

The transaction was first reported by the Wall Streets Journal.

The Wall Street Daily reported the deal was worth $1bn.

IBM bought Capital Solutions in 2014 for $10bn, but that deal did not go through.

It is one of the most notable corporate mergers in recent memory.