Reseller Daisy Communications will continue its acquisition strategy as it plans for flotation on the Alternative Investment Market (AIM) at the end of next year.
Last week the reseller acquired Southampton-based service provider Logicom Systems, its fifth acquisition this year, and revealed it has more acquisitions in the pipeline.
Matt Peters, business development director at Daisy, said: “It is impossible to give a precise figure on the actual number of acquisitions we are looking to make before flotation in December 2007, because this is heavily dependant on the size of the reseller [we acquire].
“However, we plan to double our annual revenue to £50m by December 2007, through a combination of acquisitions and organic growth.”
Peters said the flotation will raise capital to fund further growth and raise Daisy’s public profile.
“We have an extremely attractive proposition for resellers and urge anyone considering their options to speak to Daisy,” Peters added. “We would like to speak to VARs looking to exit the market or simply sell their [customer] base and start again.”
Richard Btesh, director of corporate finance at rival reseller Chess Telecom, said: “We looked at [acquiring] Logicom, but we would have structured the deal differently. Daisy has brought the shares, but we would have acquired the assets.
“How can you plan to float in December 2007, now? I’ve floated a few companies and it seems strange to plan a float for 13 months time.”
Matthew Ball, research analyst at Canalys, said: “The trend over the past few years is for these Super VARs to emerge in the UK. The growth of these VARs is putting more pressure on smaller resellers to skill-up.”
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