Aiming to expand into new services fields, Rosser Communications has acquired Microsoft certified partner, Nettis Global Solutions, as the basis of its new systems division.
The integrator's managing director, Tim Rosser, said the two organisations had been working closely for several years, providing complementary services to each other's customers.
The Nettis purchase would now allow Rosser to operate not only as a data communications provider, but also as a server solutions player, he said.
"All companies need [server] services," he said. "Historically, we'd been happy to let them get it from someone else. But with the data side of things, we were having less frequent contact with the customer. We found that we were having trouble keeping hold of customers that needed services we didn't provide and our relationships were diminished. They would wind up getting all of their services from these other providers."
Financial terms of the deal have not been disclosed.
Rosser said his company had taken on a couple of key subcontractors and two full-time employees from Nettis. They included the company's founder and co-director, Job Ching, who will head up the new systems division.
"It's not a big acquisition, but it does build up our core competencies," he said. "It gives us skillsets we didn't have.
"The value is in the relationships people have got. There's some IP there, but it's not worth much without the people who developed it driving it. We want to maintain the culture and the relationships."
In light of the new acquisition, the integrator is renegotiating to extend its office space in the Sydney suburb of Pymble.
Rosser is also working out the details of its supply of HP servers from Nettis' existing distribution partner, Dicker Data.
According to Rosser, the company will investigate further acquisition opportunities in Melbourne and Brisbane. However, he said the deal with Nettis had also transpired because of the trust between both organisations.
"In practice it might be hard to find the partners that suit," he said. "We won't do it immediately."
Rosser Communications recorded about $4 million in revenue in its last financial year.
Rosser said he expected the integration of Nettis into its business would add 25 per cent to its sales revenue immediately.
"Of those Nettis customers with existing contracts, 75 per cent have resigned with Rosser," he said.
Overall, the company was looking to boost its business growth by up to 50 per cent per year over the next couple of years, he said.