ASX-listed system integrator, SMS Management and Technology (ASX:SMS) has acquired managed services provider, Indicium and Access Networks group of entities for $22 million.
This involves an upfront payment of cash and shares, and two deferred payments conditional on profit performance during a two-year period.
SMS CEO, Tom Stianos, said the acquisition supports its growing managed services and infrastructure consulting capability, and will also increase its annuity revenue, which is expected to contribute about $20 million.
Indicium allows SMS to broaden its range of business Cloud and managed infrastructure offerings alongside its consulting and systems integration capabilities.
"This is a high growth segment of the market and Indicium will accelerate SMS' offer of managed services in the Cloud market," Stianos said. "We are impressed by the maturity of the Indicium business, including the development of their tools and methods."
Indicium founders, Andrew Stylianou and Manish Goklaney, established the company in 1999, and stated that being part of SMS enhances its existing capabilities also giving it the opportunity to address larger scale projects.
Sign up for CIO Asia eNewsletters.