Glasgow internet company acquires Manchester business
CLOUD computing company Iomart has hit the acquisition trail again with another takeover deal.
The Glasgow-based company has bought managed hosting business Melbourne for a maximum cash consideration of up to £7 million.
Melbourne, which is headquartered in Manchester where it has a number of datacentres, has over 600 customers. Iomart said the , one of a several it has completed over the past two years, would provide it with additional datacentre capacity and a sales platform to address the north of England market.
Melbourne's turnover in the year to 31 December 2011 was £2.9 million.
Of the total consideration of £7 million, £6.5 million has been paid at completion, with two deferred amounts of £250,000.
Last month Iomart acquired web hosting outfit Skymarket for up to £1.24 million. In the year to December 2011 Skymarket had revenues of £1 million.
Angus MacSween, Iomart’s chief executive, said :
“We are delighted to complement our continued organic growth by acquiring profit enhancing businesses. Iomart has been looking for some time to acquire a quality managed hosting operation in the north of England to extend our UK coverage and Melbourne fits the bill perfectly, adding a strong customer list and additional datacentre capacity.”