Unified comms provider Commsworld is on the acquisition trail after signing a deal to buy IP network provider Fluency Communications.
The company is looking for suitable mobile, fixed, data or unified comms companies to buy as part of a major drive to grow the business.
CEO Richard Nicol told Mobile that the acquisition of Fluency was part of a broader plan to become Scotland’s leading unified communications specialist. He said: ‘This gives us our own core networks, allowing us to grow as a true network provider.’
He added further acquisitions were on the cards: ‘We are a debt-free company that is growing fast and in order to reach market potential we need to make more acquisitions.’
The company employs more than 50 staff across offices in Glasgow, Aberdeen and its headquarters in Edinburgh, and plans to take on more this year as it grows its customer base. Nicol claimed Commsworld is the largest unified comms specialist in Scotland, with more than 2,000 customers, largely based in the region. The company began as a telephone systems provider in 1994, expanding into unified comms five years ago.‘
Over 75% of our recurring revenues are now from mobile, fixed and data and only 20% from telephone systems. We have doubled in size over the past five years. We benefit from the failure of the traditional large conglomerates to deliver converged services to customers,’ Nicol said. Commsworld customers range from SMEs and charities through to public sector and FTSE 250 organisations in the retail, law, oil and gas and leisure sectors. Clients include Glenmorangie, Kwik Fit, Peel Ports and Subsea 7.
Nicol said enquiries from larger companies had risen significantly over the past few months. ‘Organisations of all sizes, especially the larger corporates and the public sector, are realising the high costs, poor performance and limited service they are getting from their current providers,' he said. 'They want something better.’ To this end Commsworld is on a drive to build its corporate and public sector client base in Scotland and beyond, taking on Steve Langmead, former CEO of Capita Scotland, to lead the initiative.
Nicol said Commsworld could typically cut companies’ telecoms costs by between 20% and 40%, as well as offering a more tailored service. He added: ‘Our goal over the next 12 months is to be the logical choice for corporate companies in Scotland. Large telcos are cutting back on their services – so it is not surprising companies are looking for something better.’
The company is set for further strong growth in 2012. ‘Our profits this year have doubled from last year and will double again next year based on recurring revenues.’
Editor: Carol Millett