Elitetele.com swoops for Nexus Telecommunications
Lancashire-based unified communications specialist Elitetele.com has acquired £16m turnover Leeds company Nexus Telecomunications for an undisclosed sum.
It is the listed Chorley firm’s 15th acquisition since 2008, all of which have been funded internally and “conservative leverage” with no outside investors.
Post completion, Elite will have revenue in excess of £50m with underlying EBITDA of more than £8m representing growth of 37% and 43% over its 2016 results.
The group will have in excess of 165 staff across seven locations, with Nexus contributing £16m revenue and 35 staff. The deal extends Elite’s customer base and geographic presence with the addition of Nexus Telecommunications’ Leeds office. Nexus will be rebranded as Elitetele.com.
Elite’s founder and chief executive Matt Newing, said: “We’re delighted with the acquisition of Nexus Telecommunications.
“Nexus has a great reputation in the industry and is a perfect complement for Elite. We share a similar high-service culture, and we believe the combination of our two companies’ unified comms and IT products and services will deliver the strongest client offering in the industry.”
Nexus chief executive Rob Sims, who is staying on with the business following the acquisition and joining the group leadership team, said: “Nexus’ culture of service excellence, flexibility and customer choice make us a great fit with Elitetele.com.
“Our customers will benefit from Elite’s wide range of services, including hosted IT services, PCI Compliance, SIP services, phone systems and numbering services, which will complement the Nexus offering, giving our customers even better service. ”
Elite’s internal M&A team and internal legal counsel completed the acquisition. Leveraged finance was provided by the company’s existing lender Lloyds Banking Group.
Financial due diligence was undertaken by the Manchester office of Mazars, led by Neil Robinson, Jeremy Booth and Hayley Brightmore. Nexus was represented by Hull Solicitors Gosschalks led by corporate partner Paul Plaxton.
Elite intends to continue to grow by organic and acquisitive means.
