Chess adds another piece to its armoury

VAR makes 10th acquisition in 11 months

Comms reseller Chess has snapped up telecom VAR Datatel, making its 10th acquisition in just eleven months as it seeks to bolster its customer base.

The reseller’s recent string of acquisitions in the north of England has included Hoodpoint Communication (CRN, 7 March) and Last Word Communications (CRN, 6 December).

The company has already set its sights on another 12 months of acquisition activity.

Richard Btesh, director of corporate finance at Chess, said: “We are after business customers. This is one of many acquisitions that we have made and will continue to make.''

“I have a target list of 30 to 40 companies, and there could be another 10 in the next year. We are in a very nice position to continue to grow through acquisitions.”

Btesh insisted that the integration of the acquired firms is going smoothly, adding that Chess’s active cheque book is characteristic of the current market landscape.

“There has been mass consolidation in the sector, and we are offering a life step for entrepreneurs,” he said.

Peter Rowell, chairman at mergers and acquisitions specialists Regent Associates, was positive about the company’s strategy.

“Chess is a well managed firm, which has gone about the acquisitions in the right manner,” he said.

Rowell added there are always management challenges when acquiring new businesses, but that Chess has the correct formula. “Chess is going about it in the right way by making only smaller acquisitions. They are sensible deals,” he said.