The Dublin-headquartered comms company is acquiring a cloud specialist as part of its ‘buy-and-build’ strategy for growth.
Irish comms provider Welltel is continuing its expansion plans with the acquisition of connectivity and cloud specialist Strencom.
The deal is expected to bolster Welltel’s managed secured connectivity and cloud services portfolio and forecasted revenue for the combined company is €38m this year.
Strencom provides secure data connectivity, cloud infrastructure and managed hosting solutions for customers including Europcar, Fujifilm and Insomnia Coffee Company.
The company has bases in Dublin and Cork, and its 30 employees will join Welltel. This will bring the total headcount at Dublin-headquartered Welltel to 180.
“Strencom’s secure managed connectivity and cloud solutions expertise rounds out our offering for Irish enterprises,” said Ross Murray, CEO of Welltel.
“As a company headquartered in Ireland, Strencom is fully in control of all customer information with world-class data centre facilities in Dublin and Cork. This base in Cork also bolsters our regional presence and builds on our existing locations in Cork and Kildare. We are also delighted to add to our customer base in the UK with Strencom’s business there too.”
Tim Murphy, CEO of Strencom, added that the acquisition will help his company grow further within the Irish market.
“This is a great fit for Strencom staff and customers as it provides more opportunities for the business as well as offering a greater depth of solutions with the added portfolio of unified communications and IT services that Welltel brings.”
Terms of the deal were not disclosed.
‘Build and buy’
Welltel is a rapidly growing communications and managed IT services provider, which now has more than 3,000 business customers in Ireland and internationally.
The company has been on an acquisition spree over the last year, acquiring communications and connectivity solutions business Intellicom for €5.5m and Kildare-based IT service provider Novi for €3m in 2020.
Last month, it also snapped up the Irish and UK operations of Capstone Intelligent Solutions. At the time of that deal, Welltel executive chair John Quinn said the company has an ongoing “buy-and-build strategy”.
“We are continuing to seek out great companies aligned with our business so that we can accelerate the growth of our Irish and European communications and IT services business,” he said.
Welltel plans to make further acquisitions this year across Ireland, the UK and Europe.