Viatel acquires Limerick tech firm ActionPoint

Cloud and telecoms player Viatel has acquired Limerick-headquartered digital transformation provider ActionPoint for an undisclosed sum.

While the financial terms of the deal have not been disclosed, post-acquisition the Viatel Group revenues are forecasted to reach €65m in 2022.

In November, ActionPoint said it was projecting annual revenues of €16m for 2022 after acquiring Dublin firm ICT Project Management for an undisclosed sum.

“Today our team grows from 160 to 260 people! We have long been admirers of the ActionPoint team and culture”

The Limerick headquartered company provides cutting edge software development and managed IT services to over 500 customers, including many of Ireland’s and the UK’s leading enterprise and public sector organisations such as Munster Rugby, Chill Insurance, National Lottery, the Department of Foreign Affairs and Ireland’s leading Credit Unions.

ActionPoint has deep public cloud capability and strong credibility as a Microsoft Gold Partner.

The new group structure will see ActionPoint’s founders and leaders continue to drive the ActionPoint business while providing great innovation and expertise to existing and new customers. Follow-on acquisitions are already earmarked for 2022 as the Group consolidates further in Ireland, and more importantly, turns its focus to international markets. This is significant for Ireland as Viatel and ActionPoint will look to emerging Irish tech talent to help them expand their services globally.

The acquisition of ActionPoint by Viatel signals increased consolidation in the Irish cloud and managed services provider space.

The move comes just days after it emerged that  Irish IT services company Ergo is acquiring Aystec in a €25m deal, subject to approval from the Competition and Consumer Protection Commission.

“Today our team grows from 160 to 260 people! We have long been admirers of the ActionPoint team and culture,” said Viatel CEO Paul Rellis.

“They are a special team and business. They have developed a very strong market proposition, and it is an incredible opportunity for both companies to join forces. We believe the combined Viatel and ActionPoint capability will provide the market with a unique proposition: Viatel’s strong roots in telecoms, communications and connectivity bolstered by ActionPoint’s capabilities in Software Development, the Azure Cloud and Digital Transformation means customers can expect a true end to end offering.

“The customer focused cultures of both companies was key in making this partnership a reality and we are excited about the opportunity to bring an even greater service offering to both Viatel and ActionPoint customers,” Rellis explained.

More acquisitions tabled

Rellis said the new group structure will see ActionPoint’s founders and leaders continue to drive the ActionPoint business while providing great innovation and expertise to existing and new customers.

He said follow-on acquisitions are already earmarked for 2022 as the group consolidates further in Ireland, and more importantly, turns its focus to international markets. This is significant for Ireland as Viatel and ActionPoint will look to emerging Irish tech talent to help them expand their services globally.

“This marks a new chapter in the ActionPoint journey and enables us to continue growing our team across IT, software development and digital transformation while bringing more services to our customers,” said David Jeffreys, CEO of ActionPoint.

“We have partnered with Viatel in the past on a number of projects and we were always impressed by their professionalism and customer focus. By joining forces, we are uniquely positioned to deliver the full stack of digital services from data centre and connectivity to cloud, productivity and true Digital Transformation.”

From left: Paul Rellis, CEO, Viatel; Gina Lavery, CFO, Viatel; John Savage, chief operations and technology officer, ActionPoint; and David Jeffreys, CEO, ActionPoint.

John Kennedy
Award-winning ThinkBusiness.ie editor John Kennedy is one of Ireland's most experienced business and technology journalists.

Recommended