Telecommunications, cloud, and IT solutions company, Over the Wire (ASX:OTW), has boosted its Victorian footprint following the completion of its $7.6 million acquisition of Melbourne-based managed service provider, Telarus.
The publicly-listed telco told shareholders on January 16 that it had closed the deal, which was first announced in early December last year – a move that the company said would help expand its presence in Victoria.
The acquisition sees Telarus hand over more than 300 business customers to Over the Wire. Additionally, with $12 million in annual revenue and pre-tax earnings (EBITDA) of around $1.5 million, the freshly-acquired company is set to make a “significant” contribution to Over the Wire’s future results.
“The acquisition of Telarus is very exciting for the Over the Wire group,” Over the Wire managing director, Michael Omeros, told shareholders in a statement. “It expedites our existing geographic expansion progress into Victoria and allows us to introduce some complementary new offerings.”
Telarus, established in 2002, made a name for itself delivering enterprise telecommunications solutions to A/NZ small to medium-sized businesses (SMBs) and larger enterprise customers.
Prior to its acquisition, Telarus claimed 25 employees, and a portfolio of offerings, including data networks, managed security, private cloud services, and voice services.
The company's technology partners include BigAir, NEXTDC, Megaport, VMware, IBM, Telstra Wholesale, Vocus, and Cisco, among others.
At the time
of writing, Over the Wire’s share price stood at $2.58.