LDC supports Node4 acquisition
BIRMINGHAM-based private equity firm LDC has backed regional data centre and managed IT services specialist Node4’s acquisition of open source technology services business Reconnix.
Financial details are undisclosed.
It is Derby-headquartered Node4 second acquisition since LDC backed the business in May 2013.
The transaction forms part of Node4’s on-going acquisitive growth strategy, targeting complementary businesses operating within the data centre and cloud services markets.
Node 4 provides a wide range of data centre and managed IT services, including colocation, connectivity, managed hosting, communications and hosted telephony, and a range of cloud services, to a UK-wide network of more than 700 fast-growing SME customers.
Newark-based Reconnix is an open source technology services company specialising in application development and fully managed cloud and dedicated hosting solutions.
It provides managed services for dedicated and cloud infrastructures, professional services for open source projects, open source application support and application development to its UK customers.
The acquisition will strengthen Node4’s existing portfolio of cloud solutions and allow it to further develop its Platform-as-a-Service offering, enabling customers to develop, run and manage web applications to meet their own specific business needs.
As part of the deal, Reconnix customers will gain access to Node4’s existing cloud offerings, as well as its broader portfolio of colocation, network connectivity and telephony and communications packages.
Reconnix’s team of more than 30 technical experts and engineers will remain at the Newark site, which will be incorporated into the Node4 network.
Steve Nice, co-founder and CEO of Reconnix, will join Node4 in a senior management role.
Andrew Gilbert, managing director of Node4, said: “This latest acquisition further strengthens our expertise in three key areas that will be critical to Node4’s future success: application development, operations management and infrastructure management.
“Reconnix brings a very impressive depth of open source expertise which allows us to enhance our cloud offering and continue to ensure our customers benefit from the very best IT infrastructure tailored to their individual needs.”
John Green, investment director at LDC said: “With Node4, one of our key investment objectives was to support the management team in converting viable acquisition opportunities, whilst maintaining continued strong organic growth.
“Reconnix is a high-quality business and this deal brings additional expertise to Node4, whilst also successfully enhancing its existing foothold within cloud services.”
Reconnix was advised by Austin Moore, whilst PwC and Pinsent Masons acted for Node4.
