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3Cloud Acquires Microsoft Azure Partner

Microsoft Azure cloud consultancy 3Cloud, backed by private equity firm Gryphon Investors, has acquired the consulting arm of Pragmatic Works. Financial terms were not disclosed.

This is M&A deal 370 that ChannelE2E has covered so far in 2020. See the full M&A deal list here.

Founded in 2007, Pragmatic delivers cloud consulting and training services focused on Microsoft’s cloud and data platforms.

This deal will create the largest Azure pure-play services firm in the United States, according to 3Cloud. The transaction also expands 3Cloud’s geographic presence to the entirety of the US, according to the company.

Pragmatic Works Training will continue to operate as a separately owned company under the leadership of Pragmatic Works CEO and Founder Brian Knight, the company said.

Related: Top 200 Public Cloud MSPs

3Cloud Acquires Azure Cloud Partner: Executive Insight

Brian Knight, CEO and Founder, Pragmatic Works

Mike Rocco, Co-Founder & CEO, 3Cloud

Knight commented on the deal:

“I’m extremely proud of the market-leading position Pragmatic Works has built in the Microsoft data and analytics space. I look forward to seeing the talented employees of our consulting division continue to excel as part of the 3Cloud team.”

Mike Rocco, 3Cloud CEO and co-founder, added:

“With the acquisition of Pragmatic Works Consulting, 3Cloud has taken another big step towards achieving our goal of becoming the number one Azure pure-play services provider. Pragmatic Works Consulting has built an outstanding reputation as a leader in Azure data and analytics solutions, and we are excited to combine the expertise of our two world-class teams to deliver leading-edge Azure solutions for Microsoft customers.”

3Cloud Eyes Continued Azure Growth

3Cloud has been backed by private equity firm Gryphon Investors since July 2020. The company previously acquired Applied Cloud Systems, another Microsoft consultancy, in April 2020.

3Cloud is banking on tremendous growth in the Azure marketplace. That’s especially true for the data and analytics space as companies look to modernize their data warehouse and business intelligence platforms.

The company plans to continue pursuing growth opportunities across the spectrum of Azure solution areas, according to President and Co-Founder Jim Dietrich.

Dietrich founded 3Cloud along with the company’s CEO Mike Rocco in 2016. Both executives are Microsoft veterans, having served as general managers there, leading a combined $2 billion corporate accounts organization, as well as direct and channel go-to-market efforts.

3Cloud’s services include cloud modernization, advanced data analytics, Internet of Things (IoT), and application development for Azure.

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