InterCloud Systems announced on Friday that it has reached a definitive agreement to acquire Integration Partners-NY Corporation to support its cloud and managed service capabilities. The acquisition is expected to close by December 31, 2013.
According to the announcement, IPC-NY serves both enterprise and service provider customers, and will help bring InterCloud’s cloud platform to new and existing customers.
In order to finance the acquisition, InterCloud completed the sale of $11.625 million aggregate principal amount of 12 percent convertible notes due 2015.
“We are excited about the synergies this acquisition brings to InterCloud and its immediate accretive earnings affect. IPC-NY is a growing business with a seasoned and successful management team,” InterCloud CEO, Mark E. Munro said. “There are significant growth opportunities in cloud-based solutions that allow both enterprises and service providers to integrate their applications and various services into our cloud platform and offer them the ability to deliver services cost efficiently to their customers. InterCloud and IPC-NY create a dynamic organization that leverages our capabilities to deliver and support the many facets of cloud applications and managed services. We are very pleased that we had the institutional support to enable this transaction to happen.”
IPC-NY is expected to have 2013 gross revenues of approximately $25 million and 2013 net income of approximately $3.5 million.
Aegis Capital Corp. acted as the sole placement agent for the offering, according to the announcement.