ConvergeOne, which is backed by Clearlake Capital, has acquired New Jersey-based Strategic Products and Services, a multivendor communication and networking managed service provider. No financial terms were disclosed. Houlihan Lokey served as investment banker to SPS on the transaction.
EAGAN, Minn., August 17, 2017 — ConvergeOne, a leading IT services provider of collaboration and technology solutions, today announced that it has acquired Strategic Products and Services (“SPS”), a global, multivendor communication and networking managed service provider headquartered in New Jersey. Effective immediately, SPS is now SPS, a ConvergeOne Company. This acquisition solidifies ConvergeOne’s position as a leading provider of collaboration and IT enabled solutions in the market today.
ConvergeOne serves as a trusted advisor to more than 7,000 customers, including 52 percent of the Fortune 100 and 40 percent of the Fortune 500 customers across the healthcare, finance, manufacturing, education, and energy industries. ConvergeOne’s deep technical expertise within collaboration, enterprise networking, data center, cloud and security solutions and its end-to-end service capabilities differentiate the company from other IT service providers. Through existing relationships with more than 300 next generation technology partners, ConvergeOne provides leading, multivendor solutions and services that solve customers’ business challenges regardless of their existing infrastructure.
“This acquisition advances our strategy to continue to grow ConvergeOne’s managed services and cloud solutions,” said John A. McKenna Jr., Chairman and CEO, ConvergeOne. “With this acquisition, ConvergeOne gains scale, portfolio expansion with a growing video solution, additional managed services, and technical resources backed by decades of experience and certified expertise.”
“We are excited to support John and the management team in the combination of ConvergeOne and SPS,” added Behdad Eghbali and James Pade of Clearlake. “As a result of the acquisition strategy, ConvergeOne now has additional scale, resources, and a broader solutions portfolio to support the collaboration and IT solutions needs of its customers. With the SPS transaction complete, ConvergeOne further positions itself as the leading provider of multi-vendor IT solutions and managed services to enterprises.”
SPS, a ConvergeOne Company will be led by John F. Lyons, President and CEO, Enterprise, ConvergeOne.
“This acquisition strengthens our organization with an experienced group of world-class sales and technical resources,” said Lyons. “ConvergeOne and SPS customers will gain more choices from a broader portfolio of services and solutions, delivered with the same great customer service both organizations are known for.”
“ConvergeOne’s investment in our business strengthens SPS and enables us to better service our clients and strategic partners now and into the future,” said Ed Nalbandian, CEO of SPS. “Being part of ConvergeOne, SPS is well-positioned to leverage our combined managed services capabilities to become a clear market leader. Going forward, it is business as usual, with additional resources, as we remain highly focused on our clients’ success.”
Houlihan Lokey acted as SPS’s exclusive investment banker for the transaction.
Founded in 1993, ConvergeOne is a leading global IT service provider of collaboration and technology solutions for large and medium enterprise with decades of experience assisting customers to transform their digital infrastructure and realize a return on investment. Over 7,000 enterprise and mid-market customers trust ConvergeOne with collaboration, enterprise networking, data center, cloud and security solutions to achieve business outcomes. Our investments in Cloud infrastructure and managed services provide transformational opportunities for customers to achieve financial and operational benefits with leading technologies. Uniquely positioned, ConvergeOne has partnerships with more than 300 global industry leaders, including Avaya, Cisco, Genesys, IBM, and Microsoft to customize specific business outcomes. We deliver solutions with a full life cycle approach including strategy, design and implementation with professional, managed, cloud and support services. ConvergeOne holds more than 2,180 technical certifications across hundreds of engineers throughout North America including three Network Operations Centers. More information available at www.convergeone.com.
About Clearlake Capital Group, L.P.
Clearlake Capital Group, L.P. is a leading private investment firm founded in 2006. With a sector-focused approach, the firm seeks to partner with world-class management teams by providing patient, long-term capital to dynamic businesses that can benefit from Clearlake’s operational improvement approach, O.P.S.® The firm’s core target sectors are software and technology-enabled services; industrials and energy; and consumer. Clearlake currently has over $4 billion of assets under management and its senior investment principals have led or co-led over 90 investments. More information is available at www.clearlake.com.
About Strategic Products and Services
Strategic Products and Services is a global, multivendor communication and networking managed service provider. SPS provides strategy, consulting, design, implementation, support and managed services for interconnected communication systems, including telephony, video/multimedia, mobility and customer experience. With documented and repeatable processes, deep knowledge, broad competencies and certifications, the company enables clients to optimize their business communications with on-site, hosted or cloud-based solutions. With offices across North America and the United Kingdom, SPS partners with global industry leaders, including Avaya, Cisco and Microsoft. The company is also a founding member of the Intelligent Communications Alliance (ICA), a global partner network providing multi-national customers with a consistent approach to pricing, design, installation and support of integrated business solutions. More information available at www.spscom.com.