ASX-listed Dreamscape Networks has continued its acquisition spree by acquiring Gold Coast-based hosting provider Quadra Hosting for $2.5 million.
The deal will see Perth-headquartered Dreamscape acquire Quadra's customers, systems and brand assets from current owner Net Quadrant.
Quadra marks the fourth acquisition for Dreamscape since the company went public in December 2016, and the third acquisition in Australia. The company acquired Sydney-based Net Logistics in March last year, Singapore-based Vodien Group in June and Sydney-based Enetica Group in October.
Dreamscape managing director Mark Evans said the latest acquisition is in line with its strategy to consolidate local hosting providers under one roof.
“Bolting Quadra Hosting into Dreamscape Networks allows us to take further advantages of our existing infrastructure, and the synergies of our previous Australian acquisitions, Enetica Group and Net Logistics,” Evans said.
“We aim to bring increased value to current Quadra customers by utilising our recently-upgraded technology platforms, while improving customer service and marketing capabilities via our dedicated hosting brand, Vodien.”
According to Dreamscape, Quadra generated around $1.35 million of revenue and $800,000 EBITDA in the 2017 financial year.
Dreamscape estimates operational cost savings of $150,000 in the first full year of ownership, with minimal additional capital expenditure required to operate the business.
Evans added: “With laser focus on execution we can immediately increase our customer footprint in Australia, and deliver an enhanced offering to the customers of Quadra Hosting, with the aim of growing returns for our shareholders,” Evans added.
The deal is expected to be completed on 31 January, with the business to be fully intergrated by March.