By Narottam Medhora

(Reuters) - Apollo Global Management LLC <APO.N> said on Friday it would buy cloud services provider Rackspace Hosting Inc <RAX.N> in a deal valued at $4.3 billion, as the private-equity firm increases its investments in the technology sector.

The $32 per-share-offer represents a premium of 6 percent to Rackspace's Thursday closing price.