Six Degrees Group hits M&A trail again
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Venture capital-backed Six Degrees Group, a business launched by British entrepreneur Alastair Mills, has secured a further tranche of funding and closed another acquisition.
Penta Capital has provided £8 million in new acquisition capital to Six Degrees Group, to coincide with the business' undisclosed purchase of Cloud Computing Centre (CCC).
Six Degrees Group operates in the managed data services sector and was set up following the sale of Mills' previous business, SpiriTel, to AIM-listed communications company Daisy Group for £27 million in November 2010.
It was created by securing £60 million worth of funding and buying up data centre provider UKSolutions, technology business NetworkFlow and voice player Protel, all with help from Penta Capital.
According to a statement, the acquisition of Surrey-based managed cloud hosting business CCC brings 100 mid-market hosting customers with an average spend of £36,000 per annum. It is also said to bring Six Degrees' run-rate position to £50 million and £12 million EBITDA.
Mills comments, 'This is a significant acquisition for us as it reinforces our mid-market focus, strengthens our managed cloud hosting team and beings outstanding technical capabilities to the Group.'
Keith Bates, CEO of CCC, adds, 'We felt that the time was right to join forces with one of the fastest-growing managed data services providers in the sector, especially when we have so much in common.
'Joining Six Degrees Group will significantly strengthen our ability to win mid-market and corporate cloud hosting contracts.'
Six Degrees 2012 M&A activity has seen the business acquire datacentre interconnection business Datahop and managed hosting and cloud providers Firstserv and Serverstream.