Focus Group looking at more M&A activity after STL deal

Focus CEO Barney Taylor told CRN he is looking for business that are going to be 'additive' to its organic growth

Focus Group is targeting more M&A activity this year following its acquisition of STL Communications, its CEO has told CRN.

The Sussex-based firm acquired STL after assessing its management team, customer base, revenue and "impressive" organic growth.

It is not the first acquisition Focus Group has made this year - in March it also acquired Derby-based communications specialist Evad to support the company's "ambitious plans for growth and development into new sectors".

Focus CEO Barney Taylor told CRN he is looking for business that are going to be "additive" to its organic growth.

"You never quite know what's going to happen, but we are active," he said.

"I think it'd be fair to say that we are targeting more M&A activity during the later parts of this year."

Taylor said the company is working to a much stricter criteria when it comes to future acquisitions

He highlighted that businesses with a good culture, organic growth and a strong management team are "really important".

Taylor added: "We're very specifically now starting to go to businesses proactively.

"We're not looking for turnaround, we're not looking for business that we need to just pave our way to greatness with.

"I think, really, we want to take a very good business that's growing in its own right."

Focus' most recent acquisition of STL will help to provide full national coverage to over 25,000 customers across the UK, with it servicing the M4 corridor and into the Midlands.

Taylor says Focus will take the best bits from STL and invest as it looks to expand.

He said: "We are starting to bring all of the Focus Group of companies together into one kind of Focus Group and this is a really important part of our strategy.

"We want the acquired businesses to thrive."

Speaking about its growth plans after acquiring STL, Taylor said the company will help Focus "accelerate our ambition".

He said: "We're taking a business that not only has seen growth and has a great reputation, but it's actually got deliverable growth and it's got a pipeline for growth in the next 12 to 24 months already.

"'We've taken a successful business and we want to help them grow even more quickly."