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Blog – August 2020

M&A Silver Lining

An enforced period at home, with time to consider strategic options, seems to be having a positive effect on the M&A market!

Recent announcements have included Access Group’s acquisition of legal specialist DPS Software, Cognizant’s acquisition of New Signature (a US headquartered Microsoft cloud specialist with a significant UK footprint), and Telappliant’s takeover of Amica Technology (a south coast based MSP). However, perhaps the most interesting announcement is that of the formation of Kerv from the merger of Metaphor IT, DoubleEdge and Foehn, backed by private equity from LDC.

Kerv is the latest vehicle for Alastair Mills, former founder and CEO of Six Degrees Group and aims to be a “cloud first, customer first” business. As part of the merger the group has the capability to develop software both for their own platform and also to migrate non-native apps to the cloud.

Alastair has a great track record, is without bluff or bluster and we certainly wouldn’t bet against the success of this latest venture. Further acquisitions are clearly on the cards.

Recent feedback from MSPs has confirmed the resilience of the IT cloud services model and we continue to see much demand for these businesses. If you believe the time might be right to explore a sale – do give us a call for an exploratory chat.

Finally, having just returned for a week’s sailing in the South West I can confirm the beneficial effects of a holiday. Don’t put it off!

Peter Watson
Managing Director