Fortress International Group, Inc. (Columbia, MD), a provider of consulting and engineering, construction management and site services for mission-critical data center facilities, announced that it has acquired the data center integration services business from Arvato Digital Services LLC. "We are very excited to expand our data center services offerings to include integration services of IT equipment. This acquisition is strategically significant and will be financially accretive to our business," comments Anthony Angelini, CEO of Fortress.
He continues, "Strategically, the acquired integration business is an ideal complement to our current offerings in both the traditional and modular data center markets. As the company evolves, our ability to perform a full range of services for data center customers both to the rack, and now inside the rack, will enhance the value proposition that our customers gain by trusting their data center requirements to us."
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Located in Round Rock, Texas, the purchased business provides custom rack layout design and configuration for large enterprise IT deployments, consisting of large banks of computer servers, digital information storage and networking equipment, with custom cabling, power and cooling within data center racks and mobile or containerized data centers.
The business also includes testing and deployment, including onsite installation and network set-up of completed data center racks and mobile or containerized data centers. Additionally, the business provides configuration services including the configuration of IT equipment, which consists of loading applications or systems software, customizing memory or storage capacities, adding peripherals, and testing (including hardware power-up testing, diagnostics and software boot testing).
Angelini continues, "Modular data center services represent an important and growing business for us, and, with this acquisition, we now offer an unmatched set of capabilities to the overall data center market and particularly the modular data center space. The transaction represents a key step along our strategic roadmap, and we are very excited about the team of people joining us as a result of the acquisition. We anticipate a number of synergies in both business development and cost savings as we integrate our sales teams, existing customers and management teams. The transaction further provides an enhanced end to end solution to both existing and potential customers."
The acquired business is expected to generate over $10 million of annualized revenue and be accretive to Fortress International's results in the second half of 2013. The purchase price is approximately $1.5 million payable in cash, subject to customary adjustments.
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