Assets of stricken data centre firm sold
Harrogate’s Redcentric Solutions (RSL) buy up three data centres from Birmingham’s stricken Sungard Availability Services (UK).
Sungard Availability Services UK went into administration in March, blaming soaring energy costs and a refusal by its landlords to lower rents. Teneo Restructuring was appointed as administrator.
RSL will acquire the business and assets relating to the operation of up to three data centres and other colocation and network services from Sungard.
It said completion of the deal for each of the centres is conditional on certain revenue thresholds.
The initial minimum consideration, assuming the acquisition of all three data centres, is £11m and the initial maximum consideration is £22m.
Redcentric also said it has completed the acquisition of the business carried on by Sungard UK providing consulting and cloud-related services for £4.2m.
Peter Brotherton, chief executive of Redcentric, said: “Following completion of the capability acquisitions of Piksel Industry Solutions Ltd and 7 Elements Ltd in September 2021 and March 2022 respectively, this acquisition is the first scale acquisition completed by Redcentric, in line with its strategy.
“The Sungard DCs principally provide colocation and cloud services which complement the Redcentric offering perfectly. In addition, the Sungard DCs come with a superb blue chip customer base and should the acquisitions complete, they provide Redcentric with an exciting opportunity to accelerate its growth.”
