Managed Services Merger: Canfield Computers and Steel Valley
Call it the second managed services merger (or acquisition) of 2012. Canfield Computers and Steel Valley Computers, both of Ohio, have essentially merged their IT services and managed services businesses, effective January 1, 2012. The combined company apparently will work under the Candfield Computers moniker. Financial terms were not disclosed but here’s some anecdotal information about the deal.
Canfield Computers claims its revenues grew 65 percent in 2011 vs. 2010. The company’s managed services clientele includes a range of health care and insurance agencies. Meanwhile, Steel Valley Computers’ clientele includes numerous insurance agencies and law firms. In a prepared statement, Canfield Computers President George McDonnell said the deal will allow Canfield to grow its internal help desk while extending the company’s sales and marketing reach across the region.
McDonnell remains president of the combined company, while Steel Valley leader Brad Murphy joins Canfield as director of business development. The two companies did not disclose how many employees the combined Canfield will have, though I believe Canfield had about six employees prior to the merger.
This is the second MSP merger or acquisition MSPmentor has spotted since the New Year began. On January 1, Network Depot confirmed its buyout of Evolve Technologies, bringing together two well-known MSPs serving SMB customers in the Washington, D.C., metropolitan area.
MSPmentor is aware of at least one of MSP deal — a substantial business combination — that’s expected to be announced in mid to late January 2012.
Note: Find a complete list of MSP mergers and acquisitions here.