Gamma Communications broadens geographic footprint with Dean One acquisition

2nd Oct 2018 10:14

(Sharecast News) - Gamma Communications announced on Tuesday that it will drop as much as €27.2m to acquire growing Dutch telecom outfit Dean One.In an attempt to expand its geographic profile, Gamma snapped up Dean One, a largely channel-led business, focused on products that Gamma has strong knowledge of and experience in, for an initial consideration of €13.2m, with as much as €14m set to follow dependent on the business' performance.Gamma told investors that market penetration and growth rates in sales of Cloud PBX in the Netherlands were similar to those in the UK, where the London-listed group has "a track record in driving sustainable growth".While Gamma said the impact on its 2018 results would not be material, the firm believes that Dean One's growth will accelerate and the business will act as a focal point for the firm to broaden its geographic footprint in the medium term.Chief executive Andrew Taylor, said: "We have known the Dean One team for a number of years and see the business as a very good fit."As of 1010 BST, Gamma shares had slipped 0.51% to 849.61p.