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Dedipower
Oakley completes 10th deal in 2011 with Dedipower sale
Completed Transactions - Dedi Power Logo
Sector:
Hosting & Datacentres
Transaction Type:
Disposal
Date:
October 2011
Deal Value:
Undisclosed

Oakley Capital Corporate Finance (”Oakley”) has advised Dedipower Managed Hosting Ltd. (“Dedipower”; “the Company”), a Reading-based managed hosting and colocation provider, on its sale to Lumison, a leading UK provider of hosting and cloud services to mid-market companies. The deal is the 10th transaction completed by Oakley so far in 2011, several of which have been in hosting and IT managed services.

Dedipower was founded in 1998 by school friends Craig Martin, Spencer Tarring and Russell Champion. It grew into a substantial player in the managed hosting market with three datacentres in Reading and a strong SME and corporate customer base. The Company will add managed hosting expertise to Lumison, with 70% of Dedipower’s revenue coming from managed hosting services. This complements Lumison’s existing capability and the combined business will have turnover of £27.5m. Lumison, which acquired Blue Square Data in March 2011, is backed by Bridgepoint Development Capital.

So far in 2011 Oakley has completed four hosting and managed IT services deals, with the acquisition of Adapt in a £30m transaction by Lyceum Capital, the disposal of Acens, the leading Spanish managed hosting provider to Telefonica in June and the sale of IP Partner, a German co-location and managed hosting company to QSC for up to €25m in January.

Daniel Havercroft, the Oakley Director who ran the sale process, said,

“Dedipower was a strong and rapidly growing player in the managed hosting mid-market. The shareholders saw Lumison as a natural acquirer for the Company and a good home for its employees. The deal underlines Oakley’s strong position in the UK hosting and managed services market and was completed just twenty four hours after we advised Lyceum Capital on its deal to back Adapt, another managed IT services provider.”

For further information please contact:
Daniel Havercroft, Managing Director
+44 207 766 6900

*Completed by Oakley Capital Corporate Finance

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