News
12/08/2008
2e2 announces cash offer to acquire Netstore plc
Acquisition will create leading UK managed services player
Newbury, 12 August 2008 – 2e2, a leading provider of mission-critical IT services, has today announced that it has made a recommended cash offer for Netstore plc for £57m.
Netstore delivers powerful IT platforms, applications and services that are built on three core competencies:
Managed Services - Through it’s Managed Services offering, Netstore develops and delivers bespoke IT systems, IT skills, business processes management and technology innovation to achieve higher business performance and maximise a company's IT spend through increased efficiency, cost management and value added services.
Expert Services - Expert Services consists of two sub-divisions, Infrastructure Consulting and Application Consulting. Application Consulting specialises in the design, build and implementation of business solutions such as portals, transactional websites, trading platforms and internet driven business tools on the Microsoft platform. Infrastructure Consulting focuses on enabling organisations to realise greater value from their investment in their messaging, voice and server estates.
Security Services - Netstore offers both infrastructure security and on-line IT security solutions to protect, secure, transfer, enrich, and analyse IT data.
2e2 believes that the acquisition of Netstore will see the union of two strong and established names in the IT services industry. Netstore will complement 2e2's existing offering, adding further value to the customer bases of both businesses and increasing the range and depth of the services offered which 2e2 believes will add further value to the customer bases of both businesses. It is also expected that the Enlarged Group will benefit from increased penetration and retention of its customer base and the limited overlap between customers will further enhance this advantage. In addition, the 2e2 Directors believe that the greater scale of the Enlarged Group will enable it to compete more effectively in its target markets and to attract and motivate high calibre staff.
Eric Priestley, Non-executive Chairman of the 2e2 Group said:
"We are delighted to announce this transaction which brings together two strong and established names in the IT services industry and potentially creates a platform for further growth for the Enlarged Group. We believe this creates an exceptional opportunity to engage more broadly with our customers and create a compelling force in the UK market. We look forward to welcoming the employees and customers of Netstore into the 2e2 Group."
Paul Barry-Walsh, Executive Chairman of Netstore said:
"We are very pleased to be announcing this transaction today as I believe it represents a satisfactory conclusion of our strategic review on behalf of shareholders, customers and staff. By bringing together 2e2 and Netstore we can secure greater market presence and capitalise on our promising market position.
The acquisition by 2e2 will accelerate our growth in a way we could not achieve independently. It offers our shareholders an attractive cash price and will enable our customers and employees to benefit from being part of a growing, dynamic, successful group."
--ENDS—
About 2e2
2e2 is an IT managed services and solutions provider.
2e2’s mission is to be regarded as the most respected provider of innovative technology services and solutions that create exceptional business advantage for its customers. 2e2 provides an extensive portfolio aligned across five principal areas of business:
• Managed services: remote, on-site and co-sourced managed support
• Business application services: around Oracle, PeopleSoft and Microsoft Dynamics
• Unified communications: IP Telephony, video, messaging & collaboration
• Technology solutions: Data management, security, resilience & virtualisation
• Service and asset management: ITIL consulting & service management solutions
2e2’s vision is to be a company whose integrity, performance, quality and care for its customers and employees is second to none. Its expertise, passion, innovation and agility will differentiate it and ensure it is the partner of choice.
2e2 was established in 2002 and has grown into one of the most respected and high-quality IT services providers in the UK and the Netherlands.
With the support of Duke Street Capital, the mid-market private equity fund manager, and Bank of Scotland, 2e2’s mission is to be a major IT services partner in the UK and selected European markets.
2e2 has £240m of annual run-rate revenues and more than 1,400 staff in the UK and the Netherlands.
For more information please see www.2e2.com
2e2 contacts:
Nick Grossman, Business Development Director, Tel: 01635 265810, Nick.Grossman@2e2.com
Terry Burt, CEO, Tel: 01635 265842, Terry.Burt@2e2.com
Press contact:
Rebecca Marwood
Eclat Marketing Ltd
Tel: 0118 989 5600
Email: rebecca@eclat.co.uk
