Behind the MSP Merger: Why Savvia and CompuVision Combined Businesses
First, here are some nuts and bolts details to give you a feel for the scope of the deal. Ahead of the merger:
- Savvia had 20 employees across Edmonton and Vancouver; and
- CompuVision had 100 employees across Edmonton, Vancouver, Calgary, and Houston.
The combined 120-person company isn’t done hiring. Headcount will grow to about 135 people by the end of the year.
But what triggered the deal? An ongoing relationship between the two companies set the stage for a deeper relationship, according to Savvia CEO Lindsay Dodd and CompuVision CEO Ryan Vestby.
For instance, the two firms have been operating in the same market for about six years. However, the companies have recently become much closer having delivered five major client projects together over the past year, Dodd says.
“During that process our respective teams got to know each other and discovered that the companies have a complementary set of skills and an alignment in corporate values,” Dodd adds. “These are two primary conditions required for a strong and successful merger.”
Still, I’ve heard rumors in recent months that some Canadian firms were merging amid a customer IT spending slowdown in the energy sector. That prompted me to ask if energy sector challenges triggered the merger.
“Not at all,” says Dodd. “While the energy sector is slowing, both CompuVision and Savvia are growing. Collectively we have 12 technical and project roles that remain unfilled. We need people to help support our growth.
The merger, Dodd adds, was driven by the “value that will be realized for our clients by combining the strategic advisory skills of Savvia with the operational excellence of CompuVision. It is a powerful combination that is attracting enterprise-scale clients to the new company.”