The agreement will initiate the company’s expansion strategy on continental Europe.
Logicalis Group, international provider of IT solutions and managed services, has agreed on acquiring four 2e2 European subsidiaries, with the exception of the two units in the United Kingdom, for € 24 million (US$ 31 million).
Separately, Logicalis hired approximately 70 employees of the extinct 2e2 operation in the UK, taking over some of their respective business.
Logicalis Group will acquire the systems integration business from Spain and Ireland, which operate under the Morse brand, as well as developments in the Channel Islands (Jersey and Guernsey) and the operations in the Low Countries, leader of the IT service management (ITSM) consulting market, also offering ITSM-as-a-Service.
Logicalis Group’s CEO, Ian Cook, commented:
"This transaction fulfills our clear intentions to expand our presence in the European market and increases our solutions and services capabilities. The Spanish business, in particular, is strategically important to strengthen relationships with multinational customers in Latin America. The service management consulting business further enhances our service offerings and allows us to offer it to the wider international Logicalis’ customers. It also allows us to offer an enhanced communication and collaboration, data center, managed services and cloud services portfolio to these new markets.
The Spanish operations, with headquarters in Madrid and Barcelona, have strong focus on corporate managed services and are an essential IBM partner, for it has solid relationship with clients, which helps to complement Logicalis’ relationship with multinational clients in Latin America.
The Irish operations, with headquarters in Dublin and Cork, are a highlighted provider of corporate hardware and software solutions and services. It also has longstanding partnerships with major suppliers in this market segment, such as IBM, NetApp and HP, reinforcing Logicalis’ engagement with existing strategic partners.
The operations in the Channel Islands form one of the major IT services providers in the region, offering a comprehensive range of information and communication technologies services and solutions for the local market.
Operations in Spain, Ireland and Channel Islands will use Logicalis brand and offer the integrators’ broad solutions portfolio that includes communication and collaboration, data center, managed services and cloud computing.
The Low Countries subsidiary is a prominent service management consulting provider and will operate as Logicalis SMC (Service Management Consultancy). Besides continuing to offer support to its own clients, distributed all over Europe, it will serve as a Services Management center of excellence. Logicalis SMC counts with an ITSM consultant world level team, as well as its main ITSM-as-a-Service offer, IT-Guardian.
As a result of this transaction, Logicalis will expand its operations incorporating more than 480 employees from the Channel Islands, Spain, Ireland and the Low Countries, with annual revenue of approximately US$ 150 million and unaudited EBITDA of more than US$ 8 million.