Scalar Decisions Inc. Announces Agreement to Acquire Mainland Information Systems
- Scalar 2015 Revenue $200M CAD*
- Mainland 2014 Revenue $100-125M CAD*
Toronto-based Scalar Decisions Inc. and Calgary-based Mainland Information Systems Lt
d., two CDN
Top 100 Solution Providers
, confirmed on Tuesday
a merger agreement.
- The deal may result in the combined company ranking in or near the Top 5 of the CDN Top 100 Solution Providers rankings. Currently, Scalar is No. 11 and Mainland is No. 16. Both companies have risen in rank since the 2013 list, where they were ranked 15 and 19, respectively.
Size is Key to Capture Market
East Meets West:
This transaction helps the combined company achieve national presence, pairing Western-based Mainland with Eastern-based Scalar. Together, the combined company will be what Mainland President Jason Born describes as a "truly national IT solutions company."
- Complementary Offerings Strengthen Presence: Together, the companies will have expanded service offerings and better compete with all-inclusive market leaders. Scalar benefits from Mainland's presence and customer base, while Mainland is strengthened by Scalar's existing bench strength and security services capabilities.
- Consolidating to Face Major Players: With the top four solution providers on CDN's list all clearing $400M CAD, it's increasingly difficult for players to survive without either going big or identifying a specific market niche to fill. Following this consolidation, Scalar is not reducing headcount - instead, it expects to have 50 open positions to fill.
For more information about this transaction, click here to read the press release.
not the advisor in this transaction.
*Scalar 2015 revenue from company website. Mainland 2014 revenue range from CDN Top 100 list.
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