NTT Com Security is to acquire rapidly growing London-based Nebulas Solutions Group, according to well-placed industry tipsters.
Talks between the pair progressed in recent weeks though details of any financial exchange were not available at the time of writing. Nebulas is unlikely to come cheap.
Sources tell us specialist security boutique Nebulas will beef up German-based NTT CS’s (formerly Integralis) UK resell operations which we are told shrank in the rush to the cloud.
“This will get them [NTT CS] back on the product bandwagon,” a security market veteran told us.
Nebulas resells many of the major security brands including Cisco, Checkpoint, Sourcefire, Fortinet and RSA, as well as running a security-on-demand operation alongside consulting and assessment services.
In the the year to 21 March 2014, Nebulas made £924k, up from £546k in the previous fiscal year on a turnover of £16.8m. This was up £4m in the year, while the firm unashamedly described itself as a reseller.
Customer wins and a swelling services portfolio were the cause of the company's expansion, as cyber security is now a key priority on the agenda of every business of size. The business employs 30 staff.
Japanese giant NTT Communications took over Germany-headquartered security specialist Integralis in 2009, buying 78 per cent of its shares. It hoovered up the remaining stock in 2013.
NTT also acquired Swiss security biz InfoTrust AG and BDG GmbH & Co KG last year.
NTT CS UK reported sales of £74.5m in calendar ’13, up from £73m in the prior year, but made a loss of £2.66m versus a profit of £286k, blaming “additional costs borne as a result of the absorption of activity from Integralis Services Ltd”.
The firm said it faced “challenging business conditions as a result of the general economic downturn”, according to its most recent report filed at Companies House.
Consolidation in the fragmented security channel continues at pace with numerous boutiques pick up by larger organisations in recent years.
Nebulas and NTT CS did not respond to calls for comment. ®