You may have read the news on Friday (oh boy) about the Timico acquisition of Milton Keynes based B2B ISP Powernet. This is the fifth ISP that we have bought in 7 years.
Timico has a tripartite investment strategy for growth. We invest in our core business capabilities, in growing our business organically and in acquisition of businesses that will be able to benefit from the Timico core competencies.
These core competencies include network and hosting capacity, unified communications and an ever growing involvement in mobility. Organic growth proves the business model and the acquisition of other businesses allows us to leverage their customer bases with sales of services outside their initial product set. For example a pure play ISP will be able to add voice and mobile to its connectivity and hosting services with the potential to significantly increase the average revenue per customer. It’s a win win situation.
Whilst we are an ambitious business it is important for us to grow the business in a sustainable manner. The wellbeing of our customers is just as important as business growth. This also plays a part in the selection of acquisition targets.
Powernet is a business with the same core values as Timico and this is reflected its success in winning a blue chip client portfolio that includes Travis Perkins , Aston Martin, Sheffield City Council and the Foreign and Commonwealth Office. Powernet also brings with it a track record for innovation that will sit well within the Timico Group.
This is a good time to be around in the communications industry. A great deal of change is going on and these changes bring exciting opportunities at every turn. That said business is always hard fought with customers expecting to squeeze every last ounce of value out of relationships with their suppliers. I am comfortable that for Powernet customers this acquisition will represent significant added value and that equally, Powernet will prove to be a valuable member of the Timico Group.
Welcome aboard guys 🙂