| Thu 26 Apr 2001, 0:00 | | Dimension Data Strengthens South Eastern Us Presen |
|
Acquires Matrix Networking Group for US$16-million
London-listed Dimension Data Holdings plc, has reached agreement to acquire
Matrix Networking Group, ("Matrix"), a network integration company based in
Charlotte, North Carolina, for US$16-million in cash.
This is Dimension Data's second acquisition in North Carolina, having bought
network services company, Premier Systems Integrators, on April 1, 2001. The
complementary skills of the two companies - Premier focuses on the high-growth
server/storage market and application management while Matrix concentrates on
network integration - coupled with Dimension Data's Global Services Operating
Architecture (GSOA), immediately positions Dimension Data as the leading
e-Business enablement provider in the region.
Matrix will be integrated into the networking division of Premier, which will
adopt the Dimension Data brand on May 1, 2001. The company is currently
focused in the Carolinas, but plans are in place for further expansion into
Florida and Georgia.
The Matrix deal will become effective on May 1, 2001 subject to due diligence
and approval of the Boards of both companies and the US anti-trust authorities,
will be settled with an initial payment of US$7.6-million, with the remainder
deferred over 18 months.
Founded in 1999, Matrix is a profitable network integrator with over 150
clients largely in the middle market enterprise space with reported revenues of
US$25-million in the 12 months to end-February 2001. Matrix's balance sheet
reflects net assets of
US$2.2-million.
"The Matrix acquisition will enable us to fast-track the group's growth in the
region by boosting our quota of highly-skilled networking professionals and
providing the impetus required to build a successful networking business. This
deal is crucial for us as the product mix and complementary nature of Premier
and Matrix significantly expands our footprint in the southeastern US, " says
Adrian Liddiard, Dimension Data's US Vice President, Business Development.
"This is our sixth acquisition in the US in the last 18 months and, with the
recent Premier acquisition, gives us a comprehensive presence on the East
Coast. With 15 offices in the US and revenue approaching $600 million on an
annualised basis, we believe, Dimension Data is now one of the largest network
businesses in east USA."
"As Premier and Matrix share similar cultures and senior management have been
integrally involved in the acquisition process, we expect a smooth and
successful transition. " said Liddiard.
Matrix currently employs 36 people (eight in sales, twenty-two are billable
technical resources) and is a Cisco silver partner. In addition, seven members
of Matrix's management team have signed three-year employment agreements.
"The combination of the global presence of Dimension Data and the regional
excellence of Matrix and Premier will enable us to become the pre-eminent
infrastructure solutions and consulting provider in the Southeast region of the
US," says Brett Ganey, Matrix's co-founder and President. "Dimension Data's
ability to reach practically any location in the world, empowers us to offer
highly technical deployment capabilities to new markets and our current
customers headquartered in our region."
ends
Contacts
Issued by : Dimension Data (2711) 709-1000
Contact : Catherine Fiddian-Green, PR Manager, 011 709 1839
: Malcolm Rutherford, Group Financial Director, 011 709 1008
Note to editors
Dimension Data Holdings plc is a leading global network services and i-Commerce
solutions provider, focused on enabling enterprises, telecommunications service
providers and new economy companies to communicate and transact effectively in
an e-enabled environment.
Listed on the London Stock Exchange, Dimension Data is a constituent of the
FTSE 100 index. The Group operates in over 30 countries on six continents. It
has achieved a three-year compound annual growth rate in US dollars of 73% in
revenue and 36% in basic earnings per share. For more information, please go to
www.didata.com.
