Whiteley-based Peach Technologies has acquired local IT business Taylor Made Computer Solutions as it continues to expand its IT services portfolio both organically and through M&A. The financials of the deal were not disclosed.
The combined group will generate circa £20m revenue, have a headcount of 200 and serve over 1,000 customers.
The expansion of Peach Technologies' IT products and services will enable the company to significantly broaden its growth ambitions, noted CEO Darren Scott-Healey (pictured).
His post-acquisition strategy is to leverage Peach's own connectivity, cloud, mobile, telephony and existing IT services, while introducing the IT services, security, backup and disaster recovery solutions offered by Taylor Made Computer Solutions.
"Our immediate priority is to enhance the product and service proposition for the benefit of both organisations and the customer base," he stated.
"Both companies are hugely complementary and the acquisition enhances our ability to provide one-stop-shop solutions for IT, telephony and communications services."
Taylor Made Computer Solutions is based in Fareham and began its commercial life in 1994 as a provider of IT helpdesk, consultancy and managed services. Taylor Made's brand name and Fareham office will be retained.
The company was listed fourth in the 2017 MSPmentor report, its high ranking a reflection of the depth of IT skills now available to Peach including particular expertise in Citrix and virtualisation.
Its co-founder Nigel Taylor stated: "A driver to sell was the convergence between IT and communications. By combining both companies Peach has increased its skills and resources to deliver converged solutions.
"Our tailored approach to providing the correct products and services combined with our talent will deliver bigger benefits for customers and partners.”
Taylor is continuing to work with Peach as a consultant to the board of directors.
The deal comes a little over 17 months after Ian Brown joined forces with Peach Technologies as Chairman.
Brown has earned a solid reputation for innovating and growing businesses during his 30 year career in the technology, software, comms and IT services sectors; and his appointment catalysed Peach's organic and acquisition strategy as the company set about becoming a dominant force in the SME sector.
"After joining the group in January 2017 we quickly identified the massive opportunity generated by the combination of these two businesses," he stated.
“The acquisition is transformational as Peach Group continues to fulfil its aspiration to become a leading provider of IT and communications to UK SMEs."
Brown and Scott-Healey have confirmed that more acquisitions are in the pipeline while guiding for continuing strong organic growth.
"We will continue to look for acquisitions that will expand our UK footprint," added Brown. "The group has a number of funding options available for the future."
Scott-Healey's ambition in the IT space was made clear early in 2015 when his company rebranded from Peach Telecom.
Key reasons for the brand revamp were a strong period of growth, the acquisition of an IT MSP and a sharper focus on bigger businesses.
At the time Scott-Healey said: "We have always specialised in small to medium-sized businesses, but are naturally progressing into the mid-market and use the word 'Technologies' in our name to reflect our expanding telecoms and IT offerings."
Comment
The acquisition is emblematic of a seismic comms industry shift towards convergence and shows that comms resellers with expertise in both traditional markets and the IT services arena will hold a competitive advantage now and in the future. Both Peach Technologies and Taylor Made Computer Solutions have been invited conferees at the ICT industry's premier conference, the Comms Vision Convention at Gleneagles Hotel (this year being held on November 7th-9th) where relationships between such complementary businesses are formed and strengthened, often leading to powerful mergers and acquisitions such as the link up between Peach Technologies and Taylor Made Computer Solutions.