UK cloud company iomart (AIM: IOM), has announced that it has acquired the entire issued share capital of SystemsUp, an IT consultancy specialising in the design and delivery of Public Cloud solutions, for an estimated total consideration of £12.5m.
£9.0m has been paid in cash as an initial consideration. A further contingent consideration is due in respect of delivery of revenues, on an adjusted basis, for the year to March 2016. It has been estimated that this contingent payment could be in the region of £1.0m to £3.5m.
SystemsUp is a London consultancy specialising in the delivery of IT transformation using Public Cloud. It has a range of expertise in the design and delivery of public cloud solutions and is a G-Cloud partner to Google, an authorised Government Partner to Amazon Web Services and a Microsoft Gold Partner.
Angus MacSween, CEO of iomart, said: “The market for cloud computing is becoming incredibly complex and the demand for public cloud services is increasing at pace. With the acquisition of SystemsUp, iomart has broadened its ability to engage at a strategic level and act as a trusted advisor on cloud strategy to organisations wanting to create the right blend of cloud services, both public and private, to fit their requirements.”
Although now a part of the iomart Group of companies, SystemsUp will retain its role as an impartial, agnostic, expert consultancy on public cloud strategy.
Peter Burgess, Managing Director of SystemsUp, said: “We have already built up a significant reputation and expertise in helping organisations use public cloud to drive down IT costs and improve efficiency. As part of iomart we can leverage their award winning Managed Services offerings to deepen and widen our toolset to deliver a broader set of cloud services, alongside continuing to deliver the strategic advice and deployment of complex large public and private sector cloud projects.”
In the 12 months to 31 March 2015 SystemsUp recorded revenue of £4m with a Profit Before Tax of £1.5m, double that of 2014.
For the official statement made to the London Stock Exchange click here
iomart will post its annual results statement for the year ending March 31, 2015 to the London Stock Exchange on Tuesday 9 June.