Consolidation continues with CSI and Endava both buying

Consolidation is constantly happening in the channel with firms looking to use acquisition as a means of gaining more skills and in some cases fresh geographical coverage. 

A couple of deals have been struck that add to a long list that have been notched up in 2019 with IT services players looking to deepen their portfolio. 

CSI 

Managed cloud and security player CSI has acquired Tectrade in a move that will give the firm a US operation. 

Data protection and risk management specialist Tectrade, which last year enjoyed a turnover of £31.2m, operates out of Godalming but has an office in New York selling into the US market.  

The firm is also an IBM platinum business partner, gold at Dell and NetApp and a Microsoft cloud partner. 

Simon Payne, CEO of CSI Group, said that the deal would provide expertise as well as the chance to enter a fresh territory. 

“Tectrade is a strong and strategic acquisition for us, providing additional depth of expertise in data protection which will deliver significant benefit to our clients. It also offers us the exciting prospect of expanding our services into the USA," he said. 

That US operation will be headed up by Alex Fagioli, CEO of Tectrade. 

 “CSI is committed to helping companies move their critical business applications and data to the cloud, and the investment we are making in Tectrade will extend our ability in this arena. The company has a strong cultural fit with us and its portfolio complements ours, which means together we will bring an even stronger offering to the market,” added Payne. 

 In response, Fagioli said that there were clear benefits becoming part of a larger organisation that had an ambitious growth strategy. 

Endava 

The firm has looked North of the Border to Edinburgh and snapped up Intuitus, which provides It services to private equity clients. 

The Scottish outfit has more than 100 PE clients spanning across the UK, Europe, US and the Middle East and will give Endava the opportunity to get more command of this market segment. 

“The Private Equity space has always been an area of focus and strength for Endava, driven by the ability to increase equity value through digital transformation. Joining forces with Intuitus strengthens this position, bringing increased execution capability and a great portfolio of clients,” said John Cotterell, Endava’s CEO. 

Calum Stewart, CEO of Intuitus, said that there would be more opportunities for the business as part of a larger entity. 

"Our due diligence expertise, combined with Endava’s technology know-how and international platform, will bring new growth opportunities for the combined team,” he said. 

The terms of both deals were not disclosed.