Converge continues to grow with the
acquisition of a C$128M revenue
business, expanding its array of IT service offerings.
TORONTO and NEW YORK, Jan. 4,
2021 /CNW/ - Converge Technology Solutions Corp.
("Converge" or "the Company") (TSXV:CTS)
(FSE:0ZB) (OTCQX:CTSDF), a national platform of regionally
focused Hybrid IT solution providers in the U.S. and Canada, is pleased to announce that it has
completed the acquisition of Vicom Computer Services, Inc., a
full-service multi-cloud infrastructure provider.
Vicom, an established, scaled solutions provider based in the US
Northeast, has a rich history and focus on working with clients to
align best-of-breed technologies with their desired business
outcomes. With this acquisition, Converge gains an industry-leading
team of architects and engineers who will accelerate the growth of
the Company's practice areas, driving more value for its clients
across North America.
Vicom will join the existing Converge footprint in the US
Northeast, which includes Converge subsidiaries Lighthouse,
Essextec, and VSS. This expansion provides Converge additional
presence in key industries across financial services, healthcare,
and state and local government.
"Joining the Converge family allows us to offer more solutions
and services to our customers," said Robert
Verola, CEO of Vicom. "Converge has great relationships with
the best names in the IT industry, and we want our customers to
have access to those technologies and the experts who know how to
make the most of them."
"We are incredibly excited to join Converge Technology
Solutions," said Vic Verola,
President of Vicom. "Providing our customers with the most
innovative solutions that drive business success has always been
our goal. Joining the Converge family will help us deliver on
that promise to our customers."
"Vicom isn't your typical IT solution provider. Their alignment
with our core practice areas will drive immediate value to the
Converge client base," said Greg
Berard, President of Converge. "We continue to invest in our
cloud, cybersecurity, and managed services solutions, and acquiring
Vicom will help us grow and expand those offerings. We are excited
to welcome Vicom's employees and their clients to the Converge
family."
Vicom had trailing twelve month revenue and adjusted EBITDA of
approximately C$128 million and
C$6.6 million, respectively, for the
period ending November 30, 2020.
Consideration for the acquisition consisted of US$25 million in cash (approximately C$32 million) after adjusting for excess working
capital, representing a purchase multiple of approximately 4.85
times LTM adjusted EBITDA.
Vicom is the seventeenth acquisition announced by Converge since
October 2017. Converge's family of
companies also includes Corus Group, LLC; Northern Micro, Inc.;
10084182 Canada Inc. operating as Becker-Carroll; Key Information
Systems, Inc.; BlueChip Tek, Inc; Lighthouse Computer Systems,
Inc.; Software Information Systems LLC; Nordisk Systems, Inc.;
Essex Technology Group, Inc.; Datatrend Technologies, Inc.; VSS,
LLC; Solutions PCD, Inc.; Unique Digital, Inc.; Workgroup
Connections, Inc.; Vivvo Application Studios LTD.; and will include
CarpeDatum, LLC.
About Converge
Converge Technology Solutions Corp. is
a North American software-enabled, Hybrid IT solution provider
focused on delivering industry-leading solutions and services.
Converge's regional sales and services organizations deliver
advanced analytics, cloud, cybersecurity, and managed services
offerings to clients across various industries. The Company
supports these solutions with talent expertise and digital
infrastructure offerings across all major IT vendors in the
marketplace. This multi-faceted approach enables Converge to
address the unique business and technology requirements for all
clients in the public and private sectors. For more information,
visit convergetp.com.
About Vicom, A Converge Company
Vicom is a
full-service multi-cloud infrastructure provider with a
three-decade history of helping our customers drive business
innovation. Vicom is one of the largest regional solution providers
in the Northeast with over 100 team members servicing our
customers. Our domains of expertise include multi-cloud solutions,
networking, operations/service management, security, staff
augmentation, and professional and managed services. Through a team
of dedicated staff Vicom helps our customers deliver on the promise
of digital transformation. For more information, visit
vicomnet.com. Vicom was represented in this transaction by
Martin Wolf, a leading M&A
advisory firm serving the IT industry.
Notice to Reader: Use of Forward-Looking
Statements
Forward-Looking Information
This news release contains certain "forward-looking information"
and "forward-looking statements" (collectively, "forward-looking
statements") within the meaning of applicable Canadian
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SOURCE Converge Technology Solutions Corp.