Capita has snapped up networking player Electranet for £37m to boost its secure IT infrastructure offering.
Founded in 1996, Electranet provides networking and communication infrastructure to public- and private-sector customers. The firm claims to be one of the few in the UK "that is approved to hold UK government protectively marked information, allowing it to support secure government projects".
Andy Richards, Electranet's chief executive, said: "This acquisition marks the next natural stage of our growth as an organisation. Capita can provide access to investment and customers that will allow us to build on our great success to date.
"As part of Capita, our team will be able to grow and develop as we work to deliver secure and innovative systems for our customers."
For its last financial year ending 28 February 2015, Electranet's operating profit was at £2.7m on revenue of £15.1m. The firm is expecting operating profit of £5.1m on sales of £26.4m for its current fiscal year.
In 2008, Electranet completed an MBO, which saw private equity house Palatine Private Equity invest in the company. The investor is exiting Electranet following the Capita deal.
Andy Parker, Capita CEO, said: "The acquisition of Electranet will enable an evolution of our secure IT infrastructure capability. This business will allow Capita to build on its existing expertise and deliver highly secure services to both new and existing customers.
"We will integrate Electranet's skills and experience into Capita's services in a number of key sectors - driving forward organic growth and expanding our capability to build innovative new IT enabled solutions."
Hampshire-headquartered Electranet is set to join Capita's IT Enterprise Services division.
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