Aliso Viejo based software maker Quest Software Inc., is helped by its own Buyback plan to defy Wall Street Selloff.

Quest Software shares closed up 5% on a market value of almost 1.2 billion dollars. A lot of people who were investing in the stock began to react to the company’s announcement that it is planning to buy back $135 million to $400 million worth of its shares.

Wall Street generally likes buybacks. It is due to the fact that buybacks boost a favorite number of analysts and investors—profits expressed on a per share basis.

In a statement, the company said Douglas Garn, currently its president, will also serve as Quest’s CEO.

Quest also said Wednesday “it will buy back between $135 million and $400 million of its stock in a Dutch auction tender offer.”  The price range was set from $13.25 to $15.50.”

Quest said it would try to raise debt funding of up to $300 million, but that if it can’t borrow money on acceptable terms, it will go ahead with the offer or buy back shares on the open market using cash on hand.

The company said Smith, the former CEO, plans to tender 3 million shares, about 9 percent of his stake.

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