Daily Internet to Acquire Sys-Pro to Win Bigger Managed Services Deals

Managed hosting and cloud provider Daily Internet has entered into a conditional agreement to acquire Sys-Pro, a managed services provider and IT consultancy for £3.9 million, changing its name to Sysgroup.

According to a filing on Wednesday, Daily Internet will pay £3.3 million in cash and issue 975,000 shares and a further £1.865 million if certain criteria are met.

Sys-Pro was founded in 2003 as a Value Added Reseller, and has since undergone a transition from VAR to managed service provider and consultancy. Managed services and consulting made up more than half of its revenue for the year ended March 31, 2016.

Consulting capabilties have been the focus of other recent acquisitions. In September, Accenture acquired Cloud Sherpas to add cloud consulting to its services portfolio.

Daily Internet said that the acquisition will provide “immediate critical mass” to its core managed services offering and will provide complimentary technical ability supporting larger managed services projects with its consulting expertise.

The acquisition is also expected to allow the company, which will now be called Sysgroup, to enter into new sector verticals, in particular healthcare, education and not-for-profit.

Sys-Pro is headquartered in East Sussex with an office in London. It currently has 39 employees.