Mergers and Acquisitions, Mergers and Acquisitions, IT distribution, IT management, MSP, Vertical markets

Panoply Acquires Microsoft Azure Cloud Partner Arthurly

The Panoply Holdings, a London-based technology-focused services group, has acquired Arthurly Ltd, a Welsh technology services business with expertise across Amazon Web Services (AWS), Google Cloud Platform and Microsoft Azure.

Consideration for the acquisition was £412,000 (roughly US$510,000), of which £150,000 ($185,000) is to be paid from existing cash resources, the company said.

This is M&A deal number 252 that ChannelE2E has covered so far in 2020. See the complete M&A deal list here.

Arthurly was founded in 2018 and had been in a working partnership with Notbinary, a Panoply group company, for the last six months. Together, the companies have worked for the Department for Business, Energy and Industrial Strategy, UK Export Finance, North East London Commissioning Alliance, North Bristol Health Trust, British Red Cross, Camden Borough Council, and a number of other data intensive government agencies.

Arthurly, alongside Notbinary, has provided design, development, and engineering services to Panoply’s clients, building software and data products, services, and solutions on the large cloud vendor platforms, Microsoft Azure, Google Cloud Platform, and Amazon Web Services.

Arthurly will be fully integrated into Notbinary.

Panoply Acquires Arthurly: Executive Summary

Neal Gandhi, Chief Executive Officer, The Panoply
Neal Gandhi, Chief Executive Officer, The Panoply

Neal Gandhi, Chief Executive Officer of The Panoply, commented:

"Arthurly have been working with Notbinary for several months to support bids and to deliver on some of our most important public sector clients. Bringing them into the group adds to our depth of capabilities in hyperscale cloud projects, in particular giving us greater strength on the Microsoft stack.”

Stuart Arthur, CTO and funder of Arthurly, added:

"There is excellent alignment of the core mission and values of The Panoply and Arthurly, and through our well established relationship with Notbinary, we have been able to provide solutions to clients that drive change and have a positive impact. Becoming part of the Group is a natural progression for Arthurly and will enable us to deliver on a much larger scale with additional support to expand our growing client base. We are excited to be part of something special and can't wait to get started."

Panoply Also Acquires Ameo: Valuation Revealed

Panoply has been active on the M&A front. The company in March 2020 acquired Ameo Professional Services, which generates 90 percent of its work from public sector clientele.

Ahead of that deal, Ameo was a debt free, cash generative and cash positive business. In the year ended 30 October 2019, Ameo reported unaudited revenues of £6.9m (approximately US$8.5 million), and a normalized profit before tax of £1.0m (US$1.23 million). Panoply paid £7.0m for Ameo -- or roughly 7X profit before taxes.