Government technology services provider WidePoint Corporation has acquired IT Authorities (ITA), a managed services provider from Tampa, Florida. Financial terms of the deal were not disclosed.
This is technology M&A deal number 623 that ChannelE2E has covered so far in 2021. See all technology M&A deals for 2021 and 2020 listed here.
WidePoint, founded in 1997, has grown organically and through mergers with various regional IT consulting companies. The company has three divisions, offering managed mobile solutions, telecom life cycle management and identity management.
WidePoint is headquartered in Fairfax, Virginia with additional offices in Northern Virginia, Columbus, Ohio, Los Angeles, California and Dublin, Ireland.
ITA enhances WidePoint’s expertise in ITaaS solutions while expanding the company’s presence in the commercial enterprise sector, especially with small and mid-sized businesses, the buyer said.
ITA, founded in 2002, has expertise spanning cybersecurity, cloud, network operations, and professional services. For 2021, ITA management expects to report annualized revenue of approximately $10 million and adjusted EBITDA of approximately $1.5 million.
WidePoint Acquires ITA: A Multitude Of Synergies
Jin Kang, CEO, WidePoint
In a prepared statement about the deal, Jin Kang, CEO, WidePoint, commented:
"After a meticulous screening period, we found the ideal company in ITA because it adds accretive value across all facets of our business. With the rapidly growing managed services, cloud, and cybersecurity markets poised for explosive growth, ITA significantly strengthens our footprint within each growth market. From a sales standpoint, the acquisition offers a multitude of cross-sell and upsell synergies within IT operations, Identity Management, partnerships with Microsoft and more that we can leverage by offering our combined customer base an even more robust portfolio of services and solutions. In addition to benefitting from ITA's high margin, recurring, managed services revenue, we are able to immediately tap into their expanding commercial SMB customer base with our enhanced offerings."
Added Jason Caras, co-founder and CEO, IT Authorities:
"As IT managed services, cloud, security and professional services are more relevant than ever before, it is absolutely pivotal to have a reliable partner to ensure the viability of these capabilities. We deliberately sought out a partner that shared our passion for service leadership in addition to a partner with a compelling slate of complementary IT services that would make us the preeminent powerhouse. I am confident that WidePoint's acquisition of IT Authorities and our combined offering of synergistic technologies, human capital, culture, and incremental customer base will help us deliver even greater value to customers in this growing market."
