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Manufacturers sangoma_micro-advantage

Published on December 7th, 2016 | by Max Argent

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Sangoma acquires Telecom Assets of Micro Advantage

Sangoma have announced the acquisition of the Telecom Assets of Micro Advantage Inc. effective December 1, 2016.

Micro Advantage Inc, based in Cleveland, is a Hosted Telecom and IT provider in the Ohio area, that provides a range of services including a Cloud PBX offering based upon Sangoma’s products and technology.

Sangoma is very pleased that our long time partner, Micro Advantage Inc., has decided to join forces and bring its telecom customers to Sangoma. We look forward to welcoming all the Micro Advantage Cloud PBX clients to Sangoma and providing them with the exciting new capabilities and 24/7 redundant cloud-based network of our PBXact Unified Cloud Communications solution,” said Tony Lewis, VP and General Manager Sangoma US. Lewis continued, “The cutover will be seamless to all customers, who will initially see just a name change on their bills and who will then be transitioned over the next couple of months to Sangoma’s cloud service and infrastructure. And while this may not be a huge transaction for Sangoma, it is indeed strategically important, as it further accelerates our cloud-based sales, adds significant customer relationships with contracted terms, and offers us very talented new staff to help our company with the increasingly critical nature of network operations and support.

Sangoma has worked very hard over the past few years to round out its product offering, expanding from a single product company to one with a broad portfolio of products for business telecom needs. That portfolio now includes full solutions that meet all the Unified Communications need of a business customer, including connectivity products (such as gateways/SBC’s/telephony cards) to connect to the network of choice, the UC capable PBX itself, a full range of IP phones, and SIP trunking. These solutions are available in both on-premise and cloud-based versions. Sangoma is focusing on adding more recurring revenue to its business, and cloud based services are a key element of that strategy, as more and more customers choose to have their business communications provided to them in a CaaS (communications as a service) model. As the company has previously indicated, the growth of its PBXact Cloud service may be bolstered through prudent acquisitions and this is the first example.

The need to provide ever more complicated solutions to our customers was becoming difficult to manage for a small company with limited resources, so myself and the team here are delighted to be joining the Sangoma family, such that our customers will now get the benefit of a larger organization with more resources, the latest technology, and robust infrastructure,” said Scott Holtzman, CTO at Micro Advantage. “I am really excited to take on the responsibility of managing the network operations underpinning not just the Micro Advantage customers, but now all of Sangoma’s cloud based customers as well, including our hosted offerings of SIP trunks, fax solutions and cloud PBX. Since Micro Advantage already uses Sangoma’s equipment to provide our hosted service, our customers will be seemlessly brought onto Sangoma’s 24/7 infrastructure and benefit from the highest possible quality of service.

Full financial details of the transaction will be announced as required, but Sangoma paid initial consideration of US$350,000 and has entered into retention and earn-out arrangements for contingent consideration of up to a further US$300,000. The acquisition will be accretive to earnings immediately.

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