Business communications firm acquires cyber security specialist
Altinet, a Leeds-based provider of IT security and storage service, has been acquired by Arrow Business Communications.
Following a recent investment in Arrow by MML, Arrow is rapidly evolving its IT offering and the growing Altinet business is said to provide an ideal first acquisition in the next phase of Arrow’s growth.
Altinet has over 400 customers and has deployed a range of cyber security and storage solutions into both the private and public sector.
All the directors and employees of Altinet will be remaining and will work within the Arrow group. Daniel Bailey and Henry Doyle, founders of Altinet, will continue to lead a number of key customer relationships and day to day activities.
In a statement on the deal, the pair said: “We have been considering the best way to maximise the potential of our business and in Arrow we have found a great home for Altinet.
“As a cyber security specialist, we are excited to be joining the Arrow family and see this as the natural next step for the continued growth of the business.
“We are looking forward to working with Richard and the Arrow team in continuing to support our existing customers and working with Arrow customers through their security challenges.”
CEO of Arrow, Richard Burke, said: “With its strong cultural alignment to Arrow, expertise in cyber security and impressive sales oriented approach, Altinet represents the perfect first acquisition following the investment in Arrow by MML.
“I am excited by the possibility of offering the broader product portfolio into the combined customer base and extending Arrow’s IT capability.
“I’m sure Dan, Henry and all the Altinet team will continue to thrive with the additional support of the wider Arrow business and I look forward to welcoming them all to the team.”
Arrow was assisted on the acquisition by both Kemp Little, led by Deborah Angel and RSM, led by Rob McCarthy and Laura Bollen, with Altinet being advised by KPMG and Walker Morris.
Ben Taylor, KPMG’s head of TMT for corporate finance in Yorkshire, supported the transaction.
He said: “The completion of this deal, in the current circumstances, illustrates not only the strength of the businesses involved but the resilience of the technology sector.
“The transaction enables Arrow to boost its existing IT services capability, progressing its diversification strategy.
“I expect to see other examples of this in the market as cyber security services are only going to grow in importance, as well as offering an attractive degree of adjacency to communications and wider IT services.”