IOMART, the internet web-hosting firm, said yesterday that it hadbought Switch Media for pound(s)1.25 million.
Liverpool-based Switch supplies domain name and shared hostingservices to small businesses, operating in a similar market toIomart's Easyspace division.
The Merseyside company has more than 10,000 customers providing abase from which Glasgow-based Iomart can expand its small company-hosting business.
For the year to December 31, 2010, Switch Media reported earningsbefore interest, tax, depreciation and amortisation - adjusted fornon-recurring items - of pound(s)79,000 and turnover ofpound(s)1.3m.
Iomart said it can improve Switch's performance by cuttingoverheads, adding that it expects the business to be immediatelyearnings enhancing.
Angus MacSween, the chief executive of Iomart Group, said: "Theacquisition of Switch Media is a further step in the achievement ofIomart's strategy of building a leading hosting company in the UK."
Iomart bought Switch for a total consideration of pound(s)1.25m,with a further pound(s)225,000 to be paid no earlier than October,depending on performance criteria.
The acquisition of Switch is the second purchase made by theIomart Group in the past six months. In November, the firm boughtTitan Internet for pound(s)4.2m.
No comments:
Post a Comment