This is technology M&A deal number 583 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.
Nitel Buys Hypercore Networks: Business Backgrounds
Nitel, founded in 2003, is based in Chicago, Illinois. The company has 249 employees listed on LinkedIn. Nitel’s areas of expertise include MPLS, metro Ethernet, voice, private line, dedicated internet access and next-generation network security.
Hypercore, founded in 2016, is based in Garland, Texas. The company has 99 employees listed on LinkedIn. Hypercore’s areas of expertise include managed WAN, voice, security and monitoring solutions, DataCore, VoiceCore, SecurityCore and SD-WAN.
The deal is the first step in Nitel’s inorganic growth strategy that was put in motion last year after private equity firm Cinven made a “significant” investment in the company. The acquisition will add complementary capabilities to Nitel, including Hypercore’s voice solutions and additional SD-WAN platforms, according to the company.
Both companies say they have complimentary offerings in network-as-a-service (NaaS), SD-WAN and security, as well as a go-to-market strategy focused on the channel and wholesale.
Nitel Acquires Hypercore: Leadership Insight
Margi Shaw, CEO, Nitel, commented:
“As we indicated late last year when Cinven invested in Nitel, we would be actively pursuing inorganic growth opportunities. Hypercore is the perfect match for us. While our businesses are similar, we complement each other in a few key areas that create additional value for customers and partners. We are extremely excited about the opportunities this acquisition will bring.”
Josh Dickinson, co-founder, Hypercore, said:
“We are thrilled to bring Hypercore’s significant strengths and culture to the Nitel family. This sends a strong message to the marketplace as we stake our claim to a leadership position in the NaaS arena. The opportunities for our staff, our customers and our partners are very exciting, and we are eager to be a key part of Nitel’s success moving forward.”