IBM Partner Nexion Buys New Zealand IT Provider Aiscorp and Silicon Systems
These are technology M&A deals 671 and 672 that ChannelE2E has covered so far in 2022. See more than 1,000 technology M&A deals involving MSPs, MSSPs & IT service providers listed here.
Nexion Acquires Aiscorp and Silicon Systems
Nexion, founded in 2018, is based in Perth, Australia. The company has five employees listed on LinkedIn. Nexion’s areas of expertise include cloud, SD-WAN, security, Fortinet, networks, IT, data center, and hybrid cloud.
Aiscorp, founded in 1986, is based in Wellington, New Zealand. The company has 20 employees listed on LinkedIn. Aiscorp’s areas of expertise include server infrastructure, security, cloud solutions, backup services, technical support, account management, engineering architecture, disaster recovery, wireless solutions, mobility, project management, VMware, Microsoft, Apple, Microsoft Office 365, SharePoint, application software support, Microsoft Teams, Azure and RDS.
Silicon Systems, founded in 1991, is based in Wellington, New Zealand. The company has 16 employees listed on LinkedIn. Silicon Systems’ areas of expertise include Intel-based hardware solutions, VMware expertise, Microsoft Small Business Specialist, managed services provider, business continuity management, cloud solutions, cloud collaboration, infrastructure-as-a-service, technology procurement and Office 365 enhancement.
Nexion Triples Its Size
The binding agreement to acquire the companies would triple the size of Nexion to AUD$18.3 million (about US$12.6 million) in pro-forma revenue in 2022, according to Nexion.
The combined unaudited revenue of Aiscorp and Silicon to the end of the financial year 2022 was AUD$11.71 million (approximately US$8.1 million) and EBITDA was AUD$1.12 million (about US$7.74 million).
Last year, Nexion teamed with IBM to launch hybrid cloud services in New Zealand. The company went public on the Australian Stock Exchange in February 2021 with the aim to become a global hybrid cloud and SD-WAN infrastructure operator. These acquisitions help complete the next step in its growth plan by forming the foundation for revenue growth in the Pacific region and creating a steppingstone to the Americas, according to the company. The company next plans to push into Canada, according to Nexion CEO Paul Glass.
Nexion’s New Zealand Expansion: Executive Insight
Paul Glass, CEO, Nexion, commented:
“I’m extremely excited to have Aiscorp and Silicon join us on our journey to become a global hybrid cloud operator. Aiscorp and Silicon are outstanding businesses with long histories of delivering services in the Pacific region and will continue to operate as independent, complementary members of Nexion Group.
“Nexion has a vision to deliver services in eight global regions and the completion of these acquisitions sets the foundation for our second region called Nexion Pacific that spans the East Coast of Australia to the West coast of North America. Our next step is Canada so a base in Wellington makes acquisitions and growth into that time-zone much more efficient.”