Mergers and Acquisitions, Data centers, Mergers and Acquisitions, Content

Northern Data Acquires HPC Specialist Kelvin Emtech Group


Germany-based Northern Data AG has acquired Montreal data center and high performance computing (HPC) specialist Kelvin Emtech Group (KE Group) for an undisclosed sum.

This is M&A deal number 198 that ChannelE2E has covered so far in 2020. See the complete M&A deal list here.

The KE Group provides services for blue-chip customers including CGI Inc, IBM, and Canadian telco giant Bell Canada. The company was founded in 1994 and has additional operations in Toronto.

Northern Data, which is one of the world's largest providers of high-performance computing (HPC) solutions, will leverage the deal to accelerate its expansion strategy in Canada and across North America, the company said.

KE Group has more than 30 employees, led by Group President and CEO Denis Pelletier.

KE Group Acquired: Executive Commentary

Aroosh Thillainathan, CEO, Northern Data
Aroosh Thillainathan, CEO, Northern Data

Northern Data CEO Aroosh Thillainathan commented on the acquisition:

"We have experienced an extreme growth momentum in recent weeks driven by the high demand for computing capacity and in particular for HPC solutions. In the wake of this growth, we are excited to acquire the Canadian KE Group. The know-how and intellectual property of the KE Group is not only a valuable addition to our expertise but also enables us to accelerate simultaneous development and the establishment of additional locations. Above all in its home market Canada, we see the acquisition as a basis to build up further locations for our high-performance computing solutions in the medium-term.”

Denis Pelletier, president and CEO of KE Group said:

"We are very pleased to be part of Northern Data Group and to bring our experience and expertise in building and operating HPC data centers in the future. With its newest location in Texas, Northern Data is realizing an impressive project. It is a particular pleasure for us to now actively work side by side with the Northern Data team at other locations in North America.”

Northern Data HPC Growth

Northern Data offers HPC solutions, both stationary in large state-of-the-art data centers and in high-tech mobile data centers, which can be located at any location worldwide, the company says. In Texas, Whinstone – a subsidiary of the overall company – is currently building the largest HPC data center in the United States and, at the same time, the world's largest dedicated HPC facility, the company says.