Managed network services provider Nitel just announced its intent to purchase Garland, Texas-based Hypercore Networks. Both organizations are established Network as a Service (NaaS) providers with synergistic offerings in networks, SD-WAN, and security.
Per information in a June 27 press release, the move to acquire Hypercore represents a first step in Nitel’s strategic growth strategy, put into place late last year after international private equity firm Cinven made a significant investment in Nitel.
Operating under the Nitel brand, the combined organization will improve the company's overall competitive position, expanding its presence as a pre-eminent NaaS provider both in the U.S. and internationally.
Nitel said the move represents a significant opportunity to add complementary capabilities, including Hypercore’s voice solutions and additional SD-WAN platforms.
“As we indicated late last year when Cinven invested in Nitel, we would be actively pursuing inorganic growth opportunities,” commented Margi Shaw, CEO of Nitel. “Hypercore is the perfect match for us. While our businesses are similar, we complement each other in a few key areas that create additional value for customers and partners. We are extremely excited about the opportunities this acquisition will bring.”
Shaw added that the merged companies share common go-to-market strategies that focus on the channel and wholesale. The transaction is pending regulatory approval and is expected to finalize in coming weeks. Terms of the agreement are not being disclosed.
“We are thrilled to bring Hypercore’s significant strengths and culture to the Nitel family,” said Hypercore co-founder Josh Dickinson. “This sends a strong message to the marketplace as we stake our claim to a leadership position in the NaaS arena. The opportunities for our staff, our customers and our partners are very exciting, and we are eager to be a key part of Nitel’s success moving forward.”