Mergers and Acquisitions, CSPs, Mergers and Acquisitions, MSP, Content

Logicalis Expands Reach With South Africa And Chile Acquisitions

Logicalis Group is extending its global managed IT services (MSP) and cloud reach with two acquisitions in as many days. Indeed, the global MSP has acquired South Africa’s Clarotech and Chile’s Coasin.

Clarotech is an IP telephony (IPT) and cloud-centered MSP, while Coasin is an ICT systems integrator.

The deals are part of an ongoing strategy to “augment its existing solutions and services business” within each region. This bolsters the company’s existing reach in the 25 countries it already services with its 4,700 employees.

Clarotech Purchase

Clarotech, founded in 2001, has offices in Cape Town and Johannesburg. The company has strong vendor partnerships with companies like Microsoft, VMware, and Fortinet. Key services include IP telephony, call center, cloud and managed services for SMBs in the region.

Mark Rogers
Mark Rogers

“This acquisition enables us to combine two great operations focused on delivering managed services, to support SMBs as well as larger corporates and provide the opportunity to upsell an increased portfolio of services to our clients, not just in South Africa but also around the globe,” said Mark Rogers, Logicalis Group CEO. “Clarotech has great people and has been providing first rate solutions and services to its clients and will bring a strong capability to our business.”

Logicalis is no stranger to the region. The company is a division of Johannesburg, South Africa-based multinational IT solutions and services group Datatec.

Coasin Buyout

Meanwhile, Logicalis has completed its acquisition of Chile’s Coasin.

Coasin, which has operated for more than five decades, is an ICT support and managed services, networking, and POS solutions provider for the mining and financial services sectors.

This deal was announced in May 2018 but had to undergo third-party consultations and approval by Chilean authorities.

Coasin’s approximately 1,000 employees will join Logicalis’ operations in the region, and the Latin American company’s US$85 million in annual revenues will be added to Logicalis’ top line. The deal will also help consolidate Logicalis’ presence in the Latin American region, the company said.

Both acquisitions will help Logicalis expand its already impressive reach. The company has an annualized revenue of more than $1.6 billion from its operations in Europe, North America, Latin America, Asia Pacifica, and Africa.

Logicalis’ close partners include Cisco, HP Enterprise, IBM, CA Technologies, NetApp, Microsoft, Oracle and VMware.