Local integrator, Leading Solutions, has acquired infrastructure services provider, BCA IT, for an undisclosed sum.
Leading Solutions managing director, Frank Colli, said the two Victorian-based companies covered different market segments and were "extremely" complementary. While BCA's heritage included medium to large corporates, federal government and TAFEs, Leading Solutions has built up a customer base dominated by SMEs and mid-market, private schools and universities.
There was also small overlap in terms of vendor relationships. Although both are HP business partners, BCA also maintained relationships with IBM, Cisco and VMware. Colli also cited BCA's expertise in Wintel high-end professional services and its national repair network as key drivers behind the deal. The centres provide repair services for Toshiba, Dell, Lexmark, HP and IBM.
The companies will have a combined turnover of $180 million and 220 staff. Colli said the organisations had been similar in size and revenue. All BCA staff are expected to be retained. It will also take on an additional dozen staff in administration and sales. BCA directors, Stephen Harrington and Andrew Carter, will remain as consultants for the next three months to help transition the business over.
BCA offered depth and breadth to its product and service offering as well as boosted its technical skill set to handle large rollouts across the country, Colli said.
The acquisition would make Leading Solutions the largest privately-owned integrator in the local market, he said.
"We've been looking to expand as a business and grow in multiple areas. BCA was the best option out there for us," Colli said. "Both organisations are sizeable in their own right, so we want to take the best of both worlds."
BCA IT was originally founded as retail store and IBM dealer, ComputerLand Melbourne, in 1983. The company was renamed Business Computers of Australia in 1988 and now maintains subsidiary offices in Sydney, Brisbane and Perth. In the long term, BCA's services are expected to be fully integrated under the Leading Solutions banner.
"The BCA entity does have value though, so how we use that within the bigger group has not decided. It might become a product set," Colli said. Leading Solutions was also in discussions with another player to grow its software development practice, and had more deals on the cards. "You'll see us being very aggressive in the next six months," he said.