LONDON (Alliance News) - Telecoms and data services company Maintel Holdings PLC Monday said it has acquired Proximity Communications Ltd and its subsidiary for a total of GBP11.6 million in cash, a deal it expects to boost earnings from year one.
Proximity Communications' subsidiary is Achilles Professional Services. Proximity is a communications and managed services provider, specialising in voice and data network infrastructure software. In 2013 it generated GBP12.4 million in revenue and a pretax profit of GBP1.1 million.
Maintel said the acquisition is excepted to be "earnings accretive" in its first full year of ownership in 2015.
"Proximity boasts a diverse customer base with well developed, long term relationships across a range of impressive medium and large enterprises," said Chief Executive Eddie Buxton in a statement.
It paid GBP11.6 million for Proximity Communications, made up of a net consideration of GBP9.6 million, and cash payment of GBP2 million, which it said assumes minimum cash of GBP2.5 million expected to be in the business at completion.
Maintel shares were untraded Monday morning at 500.00 pence.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
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