Cloudcoco Group PLC - London-based IT and communications for businesses and public sector - Acquires IDE Group Connect Ltd and Nimoveri Ltd from Edinburgh-based network, cloud and IT managed services firm IDE Group Holdings PLC for a deferred payment of GBP250,000.
Both companies generated GBP13.6 million and adjusted loss before interest, tax, depreciation and amortisation of GBP800,000 for 2020.
IDE Group Connect provides cloud, advanced support and connectivity services, while Nimoveri is an IT managed services business.
Acquisitions will provide CloudCoCo with 660 additional clients and an opportunity to upsell and cross sell services across the group.
"The acquisition of IDE Group Connect and Nimoveri is truly transformational for CloudCoCo and provides us with the scale required to target bigger customers with larger budgets, as well as serving as a great catalyst for future expansion," says Chief Executive Officer Mark Halpin.
"Together, the acquisitions will almost double our current annualised revenues to around GBP27 million and take our customer base to more than 1,000, with a multitude of new sales opportunities across the board including enhanced private, hybrid and multi-cloud transformation projects through the addition of customer infrastructure in 33 data centres," Halpin adds.
CloudCoco's current stock price: 1.64 pence, up 5.9%
Year-to-date change: up 64%
IDE's current stock price: 1.38 pence
Year-to-date change: up 77%
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Cloudcoco (CLCO)