Breakthrough Technology Group (BTG) and NexusTek, two cloud-focused MSPs, have merged.
The deal was facilitated by Abry Partners, a familiar name in the MSP sector. Abry bought BTG in December 2017 and recapitalized with NexusTek. According to the companies, the combined entity will be marketed under the NexusTek brand.
NexusTek is headquartered in Denver, while its reach extends across Colorado, Arizona, and much of the US and supports more than 1,200 customers. The company provides IT support and outsourcing including help desk, cloud services, VoIP, cyber security services, server monitoring and Microsoft Dynamics. Including this most recent merger, the company has been growing 34 percent annually. This is largely thanks to NexusTek keeping its network operations centers (NOCs) in-house, rather than outsourcing to another company, the companies say.
Abry says this impressive growth trajectory reflects an aggressive strategy to increase marketshare through both organic and M&A means. NexusTek’s merger with BTG is its fourth M&A transaction in less than four years and the first of several planned for 2018, the private equity firm says.
Abry is betting that businesses will continue to struggle with cloud migrations, and believes firms like NexusTek can take advantage of the opportunity. Abry says the combined company will accelerate growth by delivering “better service, a leading service portfolio in the industry, and faster product development which will empower customers to keep pace with the rapidly evolving cloud and cyber security environment.”
“Businesses today need IT solutions that are convenient, flexible and purpose-built for their specific workflows,” said NexusTek CEO Mike Jenner. “Agility is paramount in every industry, and successful companies that stay ahead of their competition are the ones that can adapt to changes in the marketplace without sacrificing productivity.”
BTG, founded in 2007, is based in New Jersey. The company has positioned itself as a national managed private cloud service provider that supports customers’ business and compliance needs across an array of industries.
Adaptable Cloud Services, the company’s private cloud services portfolio, is hosted in geographically redundant SSAE 16-certified data centers that leverage a software-defined architecture to bring together storage, compute, and other elements into a single solution optimized for managing customized enterprise workloads in the cloud, BTG says.
As mentioned, Abry Partners is a familiar name in MSP circles. The private equity investment firm focuses its attention on media, communications, and business and information services sector. Since 1989, they have completed over $62 billion of leveraged transactions and other private equity, mezzanine, or preferred equity investments. Currently, they manage over $5.0 billion of capital in their active funds.
