Eir has acquired Irish IT services provider Evros for €80 million in a deal that represents a significant payday for founder Bob Murray and chief executive Brian Larkin.
Established in 1990 and employing more than 450 people, Evros Technology Group designs, supplies, implements and supports IT infrastructure. The group consists of Evros, Digital Planet, itContracting, Comsys, eSource and mySoftware.ie.
Evros generated revenue of approximately €91 million and earnings before interest, taxes, depreciation, and amortisation (ebitda) of €9.1 million in 2020.
The newly merged entity will provide end to end solutions across telecommunications and IT services including mobility solutions, networking technology, public and private cloud, security, managed services and IT contracting.
"We are very excited to be joining forces with such an established organisation as Eir Business, " said Mr Larkin.
“The new entity will create huge opportunities for our client base and our staff as we develop the natural synergies between the two companies to deliver what will be an unrivalled communications and IT services portfolio into the Irish marketplace,” he added.
Clearance
The transaction, which is subject to Competition and Consumer Protection Commission clearance, represents a significant payday for senior executives.
Mr Murray has a 33.3 per cent stake in the company through Eidolon Investments Unlimited, while Mr Larkin has a similar shareholding, which is held via Auldbean Investments Limited. Commercial director John Kennedy has a 25 per cent stake in the business through an entity known as Iverna Investments, while account director Pamela Farrell has an 8 per cent shareholding through Realt Na Mara Investment Limited.
Eir said the transaction would further strengthen its existing portfolio of enterprise communication services, with leading voice, data, mobile and managed services now complemented by best-in-class IT services.
“We are thrilled to announce this transaction and welcome the Evros team to the Eir family. This is another important step in our ambitious investment strategy for Ireland, building the country’s best networks and delivering a comprehensive service portfolio, which will allow us to provide our customers with all the tools they need for their digital future,” said chief executive Carolan Lennon.
Davy Corporate Finance acted as adviser to Eir while Arthur Cox and EY acted as legal and financial advisers. Evros was advised by Fieldfisher and Grant Thornton.
