Momentum Telecom has acquired Phoenix, Arizona-based CloudNet Group, a provider of cloud voice, mobility, SD-WAN, contact center, and other unified communications solutions. Financial terms were not disclosed.
The purchase will broaden Momentum’s solution portfolio thanks to CloudNet’s knowledge and experience launching vertical go-to-market strategies, according to the company. Both businesses specialize in high-touch, white-glove service.
The deal will strengthen Momentum’s core business of Business Voice, BBX Broadband Management, and Unified Communications solutions, the companies say.
About Momentum Telecom's Ownership, Revenues
Momentum, founded in 2001, generated about $99.3 million in revenue for 2017. Also, the company had about 391 employees at the end of that year, according to the annual Inc. 5000 list for 2018, which tracks America's fastest-growing privately held companies.
Momentum attracted a majority investment from Court Square Capital Partners in July 2018. Court Square Capital also owns a stake in AHEAD, a major IT consulting firm in Chicago.
M&A: Unified Communications: The unified communications sector has generated numerous mergers and acquisitions in recent quarters. Among the news we’ve tracked:
- In June, SKC Communication Products bought unified communication and collaboration solutions provider GBH Communications.
- An investment group led by Searchlight Capital Partners paid $2 billion cash for Mitel in April 2018.
- In February 2018 LogMeIn acquired Jive Communications for $342 million in cash and up to $15 million in future considerations.
- Intermedia acquired AnyMeeting in September 2017.
The trend will likely continue as more enterprises move from legacy phone services to VoIP and cloud-driven solutions.