Business
Acquisition of Extrinsica
Acquisition of Extrinsica.
About this update from Iomart Group Plc
[{"type":"text","content":"\n\n5 June 2023\niomart Group plc\n(\"iomart\" or the \"Group\" or the \"Company\")\n \nAcquisition of Extrinsica\n Acquisition of high growth Microsoft services provider brings in-demand expertise to iomart portfolio\n \niomart Group plc (AIM: IOM), the cloud computing company, is pleased to announce that it has agreed to acquire the entire issued share capital of Extrinsica Global Holdings Limited (\"Extrinsica\"), the holding company of Extrinsica Global Limited (the \"Acquisition\"). Extrinsica is a Microsoft Azure Cloud solution services provider with offerings including managed Azure Cloud, Azure solution design and implementation services, support & optimisation services and licencing.\n \nHighlights\n \n· Acquisition of deep Microsoft Azure expertise and experience aligns fully with iomart's secure hybrid cloud strategy\n· The enriched skills from this acquisition will be available to existing iomart customers to support their Microsoft requirements\n· Addition of new customer base, who will now have the full iomart product offering available to them\n· Shared values and culture providing positive environment for future growth\n \nExtrinsica 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. \n \nThe 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.\n \nSimon Smith, CEO and Co-Founder of Extrinsica, will continue to lead the business as CEO supported by his highly skilled and experienced team. From a legal, financial and governance perspective, they will be very much part of the iomart Group. \n \nFor 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 is not considered a substantial transaction as defined in AIM Rule 12.\nConsideration \nThe ...