British Office 365 and SharePoint consultancy Content and Code has been acquired by UK technology services outfit IT Lab.
Under the deal, announced today, the combined business will enjoy a combined turnover of £60m and the IT Lab headcount will grow from 450 to more than 550 employees as the C&C staffers move in. C&C founder Tim Wallis has taken on the role of chief digital officer at IT Lab while chief exec, Peter Sweetbaum, will remain the head honcho of the newly embiggened outfit.
Founded in 2001, London-based C&C advises to customers keen to hop into Microsoft's cloud, be it Office 365 or SharePoint. The company also keeps customers in the loop about how their service investments are performing via its Digital Insights analytics service - and can accelerate the often bewildering process of getting SharePoint up and running with its Fresh Intranet service.
C&C has seen a rise in its revenues, according to filings made at the UK's Companies House (PDF). For the year 31 December, 2017, turnover increased from a hair over £10m in 2016 to a shade below £12m, with gross profits jumping from £4.4m to £6.4m thanks to a drop in the cost of sales.
IT Lab, which reported a turnover of £34.4m in the year to 31 March 2017 and a gross profit of £14.3m (PDF), is focused on IT services, and C&C's technical capabilities in the Microsoft arena should be a good fit for the firm as more companies look to the cloud (helped, no doubt, by some gentle prodding from Redmond). The company has the backing of private equity firm ECI, which typically invests between £25m to £100m of equity in deals valued up to £200m.
At the time of the 2016 deal, ECI said it intended to help IT Lab grow organically and widen its portfolio of services. In May 2017, IT Lab acquired Perspective Risk. And now it has snapped up C&C for an undisclosed sum. ®