AdEPT acquires Avaya specialist

Comms firm boosts debt facility to £35m to fund future acquisitions

AdEPT has made its second acquisition in three months, snapping up unified comms specialist ETS Communications.

The publicly listed comms firm said the deal will bolster its Avaya capabilities, adding to the Avaya IP Office it already has in Northampton.

The acquisition comes after AdEPT moved for Shift F7 in a £5m deal over the summer.

This latest deal will see AdEPT pay £2.5m in cash, minus ETS' net debt. A further £1.75m may be payable next year, depending on performance.

AdEPT CEO Ian Fishwick said: "We are delighted to have acquired such a high-quality business with a highly experienced vendor remaining with ETS post-acquisition.

"The acquisition of ETS builds on this capability and extends the geographical reach to Yorkshire and Lincolnshire.

"ETS has a well-developed customer base with long-term relationships, which builds on AdEPT's existing public sector healthcare presence.

"The acquisition is expected to be earnings enhancing from completion."

AdEPT said the acquisition will add around five per cent to its revenue run rate.

The firm also announced that its debt facility has been increased to £35m to support further acquisitions.

Chairman Roger Wilson said: "We are delighted to have obtained the continued support of the teams at RBS and Barclays to provide a larger syndicated debt facility.

"This enlarged bank facility provides the company with additional funding to undertake the acquisition of ETS as AdEPT continues with its strategy of acquiring earnings-enhancing businesses."