iomart Acquires Microsoft Services Provider
AIM-listed cloud computing company iomart Group plc has acquired Extrinsica Global Holdings for an initial £4m in cash and shares, with a further £0.3m payable in cash subject to certain targets being met. The Acquisition also includes a further £4m to £7m of contingent earn-out payments which are calculated based on Extrinsica’s profitability for the 12 months ending 31 March 2024.
Extrinsica was incorporated in 2010 as a Cloud services provider to micro businesses. It was in 2017 that its current business model was established when it was invited by Microsoft to become one of the first 25 Microsoft Azure CSP partners worldwide. It is now solely Azure public cloud focused. For the year ended 31 March 2023, Extrinsica generated revenues of £7.4m, being year on year growth of c.40%, and EBITDA of £0.1m (unaudited).
The Acquisition provides iomart with deep Microsoft Azure expertise, a highly capable team of 33 based in the UK, strong customer references and a shared value and vision for how the Microsoft Practice in iomart should be shaped to support acceleration of growth.
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