rns22 Jun 2010 08:26
Daisy Group plc
Acquisition of MurphX Innovative Solutions Limited for £4.8m
· Rapidly growing data solutions specialist
· Clear strategic fit with Daisy's existing data business
· Significant opportunity for cross selling unified communications
· Revenue from data solutions to increase by more than 30%
Daisy Group plc ("Daisy"), a leading provider of unified communications to the SME and mid-market, announces that it has acquired the entire issued share capital of MurphX Innovative Solutions Limited ("MurphX"), a provider of data connectivity and hosted solutions, for an initial cash consideration of £4.8m. Further consideration will become payable based on growth in EBITDA over a three-year period.
MurphX provides a range of services to the channel including business broadband, virtual private networks, leased line and Ethernet connectivity, co-location, IP transit and application services, including SaaS. Its products are aimed at internet service providers (ISPs), telecoms resellers and IT services organisations, who resell to SME and mid-market business customers.
Operating as an "enabler", MurphX provides the operational infrastructure that allows business customers to utilise convergent technologies such as voice over IP and video conferencing, significantly enhancing Daisy's existing data solutions offering.
Following completion, the management team at MurphX will stay on and lead the integration of the business, with the aim of driving turnover and profit growth in the combined entity.
Based in Hampshire, MurphX has enjoyed rapid growth since its establishment in 2001. The business has strong partnerships with BT, C&W, Opal and Virgin Media and has 45,000 business broadband connections.
The unaudited management accounts of MurphX for the five months ending 30 April 2010 show revenues, gross profit and EBITDA of £4.8m, £1.3m and £0.5m respectively.