Fixed wireless vendor BigAir Group has entered into an agreement to acquire Sydney-based managed services provider Oriel Technologies.
The deal includes an up-front cash consideration of $4.21 million, with two additional payments based on Oriel's performance in 2015 and 2016. The total acquisition price is capped at $15 million.
The transaction is expected to be completed on or before 31 December this year.
The buyout will give the wireless provider a “significant boost” to its cloud and managed services business, said BigAir chief executive Jason Ashton.
BigAir would gain a wide array of service offerings, such as networking, communications, support, infrastructure-as-a-service, desktop-as-a-service, and private, hybrid and public cloud.
As well as an expanded portfolio of services, the acquisition would provide “significant cross selling opportunities”, according to a statement released to the ASX this morning.