Converge Technology Solutions Acquires Vicom for $25M
Converge Technology Solutions Corp. has acquired multi-cloud infrastructure provider Vicom Computer Services for $25 million or roughly 4.85 times adjusted EBITDA for the last twelve months (LTM), the companies say.
This is M&A deal number nine that ChannelE2E has covered so far in 2021. See all technology M&A deals for 2021 and 2020 listed here.
Vicom was represented in this transaction by Martin Wolf, an M&A advisory firm serving the IT industry.
Vicom Acquired: About the New York IT Solutions Provider
Vicom had trailing 12 month revenue of roughly $101 million and adjusted EBITDA of roughly $5.2 million, the buyer says — though Vicom’s revenue at one time was closer to $165 million, according to the seller’s website.
Vicom is headquartered in Farmingdale, New York — a location on Long Island that’s about a one-hour train ride from New York City. The company also has offices in the city, and employs more than 100 people.
Vicom will join the existing Converge footprint in the U.S. Northeast, which includes Converge subsidiaries Lighthouse, Essextec, and VSS. This expansion provides Converge additional presence in key industries across financial services, healthcare, and state and local government.
Converge Technology Buys Vicom: Executive Perspectives on the Acquisition
In a prepared statement about the M&A deal, Vicom CEO Robert Verola said:
“Joining the Converge family allows us to offer more solutions and services to our customers. Converge has great relationships with the best names in the IT industry, and we want our customers to have access to those technologies and the experts who know how to make the most of them.”
Added Vicom President Vic Verola:
“We are incredibly excited to join Converge Technology Solutions. Providing our customers with the most innovative solutions that drive business success has always been our goal. Joining the Converge family will help us deliver on that promise to our customers.”
Concluded Greg Berard, president of Converge:
“Vicom isn’t your typical IT solution provider. Their alignment with our core practice areas will drive immediate value to the Converge client base. We continue to invest in our cloud, cybersecurity, and managed services solutions, and acquiring Vicom will help us grow and expand those offerings. We are excited to welcome Vicom’s employees and their clients to the Converge family.”
Converge has announced 17 acquisitions since October 2017, the company says.