martinwolf
Transaction Analysis
Presidio Announces Acquisition of Netech
Financial Information
Transaction Facts
- New York-based solution provider Presidio announced today that it acquired Cisco networking VAR Netech for an undisclosed amount.
- While financials were not disclosed, the press release lists Netech as having revenues in excess of $300 million. The deal will add 11 offices and 430 employees to Presidio, and create Presidio's sixth geographic Area: Presidio North Central Area.
- Though the transaction was announced today, it was first detailed in a media report published in December in CRN. According to the article, conversations began in August.
- The transaction merges two leaders in the solution provider space. Netech is number 107 on the CRN Solution Provider 500 list, while Presidio is number 21.
2015 Theme: Consolidation Everywhere
- Customer Expansion: Presidio is an established presence in the enterprise and US government space, while Netech has differentiated itself as a provider to the SMB, K-12 and higher education markets. This transaction creates cross-selling opportunities for Presidio among a relatively untapped market, while providing Netech employees with Presidio's powerful sales and marketing engine.
- Adding to the List: This transaction is Presidio's latest in a string of major deals, following its November purchase of Sequoia Worldwide, a cloud consulting and integration firm, and its October sale of Atlantix Global Systems, a provider of refurbished hardware. With the support of Apollo Global Management, the company has been active in pursuing smart inorganic growth.
- Closing the Year on a Familiar Tone: This transaction, signed on Dec. 31, capped a series of major M&A activity that has marked all of 2015. Driven by low organic growth and easier access to capital, the past year saw record M&A volume totaling more than $5 trillion, according to Dealogic.
For more information about this transaction
, click here to read the press release.
martinwolf was not the advisor in this transaction.
To receive instant analysis on the day's business news from the martinwolf team,
follow us on Twitter @martin_wolf_ and on LinkedIn at martinwolf.
|
| About martinwolf
With offices in the San Francisco Bay Area, martinwolf is a leading M&A Advisory focused on middle market companies in the IT Services, IT Supply Chain, IT-Enabled Business Process Outsourcing and Software as a Service (SaaS) space. Since 1997, our team has completed more than 140 transactions in nineteen countries and sold seven divisions of Fortune 500 companies. The firm is also a presenting sponsor of the Global IT M&A Forum. martinwolf is a member of FINRA and SIPC. For more information, visit www.martinwolf.com. To learn more about martinwolf, contact Matthew Putzulu at [email protected]. © martinwolf 2016 |
|
|
"Business is the salt of life."
Voltaire
_________
|
|
|
