New deal opens up IT firm’s horizons
GATESHEAD’S TranscendIT has bought Nectar Electronics of Durham in a bid to boost its hardware expertise.
The deal allows TranscendIT to provide fully-integrated IT services to businesses, as well as expand its reach into the south of the region.
TranscendIT has offices in the Team Valley, and the acquisition takes its workforce up to 17.
Director Adam Kuznesof said the deal allows it to provide a “complete bespoke package” to clients, with hardware and software solutions available under one roof.
He said: “Hardware engineering is a dying art. Many engineers end up working for the global corporations and the majority of companies just call up Dell or Hewlett Packard, because they’re not aware of the alternative. By purchasing Nectar we have added four exceptional people to our 13-strong staff to give the North East business community a real alternative choice.”
TranscendIT launched a decade ago with five staff, and celebrated its 10th birthday in September by raising £2,500 for Newcastle Hospitals’ Children’s Heart Unit Fund.
Director Tom Tinsley said: “We’ve never done anything like this before, we’re normally quite conservative and we’ve been growing organically.
“However, Nectar Electronics was such an attractive proposition – a successful business with good turnover and profit. There’s also a synergy between the services we provide to a similar client base, so it made perfect sense.”
The deal was completed with help from legal firm Crutes and accountants Ryecroft Glenton.
Anne Spetch, partner at Crutes, said: “Crutes provides a responsive bespoke service to SME businesses which is all about the client, backed up by a strong track record in corporate and commercial transactions.”
Tim Mallon, partner at Ryecroft Glenton, said: “The TranscendIT team identified an opportunity to expand their business and pursued their first acquisition with great enthusiasm.
“We were able to guide them through the due diligence process and advise on structuring and other financial matters. It is good to see a business looking to grow their business in these difficult times.”
