G3 Global buys 2e2-owned Diagonal Consulting

G3 claims to have taken on a 'significant number' of 2e2 staff ahead of its Diagonal buyout for an undisclosed cash sum

2e2-owned SAP reseller Diagonal Consulting has been acquired by G3 Global for an undisclosed cash sum in a move the latter claims will significantly bolster its market presence.

US-headquartered Diagonal Consulting was acquired by Morse in 2004 in a £50m deal before it was gobbled up by the VAR giant in 2010 as part of its buy-and-build strategy.

G3 claims to have already taken on a "significant number" of former 2e2 staff after some were made redundant when the firm entered administration at the end of last month. The firm also offered help to 2e2 customers in the form of immediate access to its helpdesk function as well as deploying resources to them.

The firm claims the buyout of Diagonal will bolster its services offering and bring a wider portfolio to its united partner base.

Joint administrators FTI Consulting declined to comment on the buyout, but the firm is said to have agreed to support the transition of Diagonal customers and trademarks in a G3 statement.

G3, which operates in the UK, Europe, Africa and the US, claims the Diagonal buyout will improve its presence in the States.

Chris Gunter, chief executive of G3 Global, said: "Having enjoyed an active US customer base over the past 10 years, we have been planning formal incorporation into north America for some time.

"The Diagonal acquisition is not only an important strategic opportunity to build a greater presence in the US, but also a fitting business match for both employees and customers.

"The leadership Steve Woodgate and his Diagonal team bring to the table adds significant value to our global and local customer base."

Diagonal's president Steve Woodgate said he was excited to join the G3 family, adding that the two firms' culture, methodology and management are similar.