Cirrus Networks buys L7 Solutions from Vocus
- 03 December, 2015 16:44
Cirrus Networks Holdings (ASX: CNW) has agreed to acquire L7 Solutions from Vocus Communications (ASX: VOC) for $500,000.
L7 is an IT integrator and managed services provider which was established by Cirrus board members Matthew Sullivan and Andrew Milner in 2004.
The company was acquired by Amcom Telecommunications during 2011 for $15 million.
In June, Amcom shareholders agreed to a merger with Vocus.
According to an ASX statement, L7 has a range of blue chip companies and government organisations as clients.
It generated unaudited revenue of $6.3 million during the first quarter of FY 2016. However, the company has experienced a steady decline in recent years.
The statement said that Cirrus is excited about having the opportunity to revitalise the business. The combined business will provide the company with greater scale and expertise as it continues to roll out its business plan and grow its overall market share.
Cirrus CEO Frank Richmond said the company is confident of driving further growth as it integrates the businesses and implements an “immediate return to the service levels and technical expertise L7 customers have come to expect,”