Atturra to buy Melbourne-based IT services provider Blue Connections
Technology consultancy Atturra is set to acquire Melbourne-based IT solutions and managed services provider Blue Connections in a deal worth potentially a tick over $25 million.
Currently based out of the eastern suburb of Scoresby, Blue Connections IT has been in business in Melbourne for close to twenty years, and provides a range of services including networking, security, cloud, and IT procurement.
The company will become Atturra’s sixth acquisition in nine months if the deal closes as expected before the end of August, with an upfront price-tag of $18 million and performance clauses potentially stretching that figure to $25.5 million.
“The proposed acquisition will significantly enhance our credentials as a leading provider in managed services, and aligns with Atturra’s strategic focus on scaling its capabilities,” CEO Stephen Kowal said in a note to the ASX. “The acquisition will also strengthen Atturra’s service capabilities while expanding the firm’s portfolio of offerings.”
Kowal made two further key points; that there was presently little overlap between Atturra’s and Blue Connections’ client bases, enhancing the opportunity to boost revenues and reach, and that the company’s existing ‘state-of-the-art’ facilities would provide Attura with a key operational hub for its business in Victoria, in line with its national expansion agenda.
These facilities include an experience centre, a training centre, a configuration zone and a warehouse, with Blue Connections also boasting a locally-based 24/7 service desk. Meanwhile, the firm’s IT procurement services cover mid-market, enterprise and government sector clients, while Microsoft, Lenovo and Dell feature among a long list of vendor partners.
“We’re thrilled about this next chapter with Atturra,” recently-appointed innovation & growth CTO and serial entrepreneur Jen Goeldner wrote on LinkedIn. “A real testament to the strength of Gordon (CEO Gordon Brownell, who has been with the company since almost its 1997 founding) and the Blue Connections team, and the trusted relationships they’ve built over time.”
The acquisition will be Atturra’s sixth since November along with more than a dozen since rebranding from FTS Group in 2021, including most recently SAP specialist DalRae Solutions in Brisbane. The firm also recently took its first steps in the US market through its purchase of Boomi partner Kitepipe, while a deal for managed services provider Plan B saw it expand into New Zealand at the end of last year.
