A Florida-based IT company has purchased West Hartford’s IT Direct.
But rather than losing a business, West Hartford is gaining a larger one.
That's because as part of the deal, Compass MSP will relocate its headquarters to West Hartford, and install as its new CEO Ari Santiago, who founded and leads IT Direct.
"We feel really great about ... the leadership we've been able to bring and the exceptional talent that we have here in Connecticut," Santiago said. "[West Hartford] felt like a great place from where we can continue to build on that talent."
A larger company choosing as its chief executive the head of a smaller one it acquired isn't something you typically see. But Santiago and Compass' interim CEO said their shared vision of the future makes this an atypical deal.
Both companies provide IT services to small and medium-sized businesses, said Josh Kotler, Compass' chief strategy officer and head of acquisitions, who has also served as interim CEO. Additionally, acquisitions are an important part of Compass' strategy to grow and expand into new markets. Connecticut's proximity to Boston and New York, in addition to its concentration of small and midsize businesses, make the state a good place to base operations.
But mostly, Kotler said, the decision to move Compass' headquarters to West Hartford was made because the company wanted Santiago, an outspoken booster of Connecticut and its business community.
"I think he's an actual rising star, I think he's really good at running a [managed service provider] and has the capability to run the [company] we want to build," Kotler said. "I think he's very rare."
Compass has about 150 employees compared to IT Direct's approximately 70 staff members. Before the deal, Santiago said, IT Direct did about $15 million in annual revenue. He thinks the combined companies will do about $45 million to $50 million in annual revenue.
Rebranding slightly, the company will now be called IT Direct: A CompassMSP Company.
Santiago and Kotler didn't disclose the financial terms of the transaction, but Santiago said as CEO he plans to continue growing via a regional hub model.
Compass currently operates in five regions across the country (north Florida, south Florida, Midwest, mid-Atlantic and New England), each of which has its own business leader and boots on the ground. Over the next year, Santiago said Compass will pursue acquisitions along the Eastern Seaboard’s I-95 corridor.
"We're looking to find other like-minded businesses that want to get on board," Santiago said.
The move will eventually add jobs in West Hartford, Santiago said. That part of the deal is important to Santiago, who is known in Connecticut for hosting the “Made in America” podcast, which highlights successes in the state's manufacturing community.
A Florida company moving its headquarters to Connecticut largely for the talent the state offers tells exactly the kind of story Santiago tries to promote.
"I think that we do a really [poor] job at celebrating the good things that happen locally," Santiago said. "There are reasons to be in different places, and I think there's great talent — people, brain power — here in Connecticut."
"direct" - Google News
February 08, 2021 at 06:01PM
https://ift.tt/3rGGhXz
Florida firm buys IT Direct, chooses West Hartford as new HQ - Hartford Business
"direct" - Google News
https://ift.tt/2zVRL3T
https://ift.tt/2VUOqKG
Direct
Bagikan Berita Ini
0 Response to "Florida firm buys IT Direct, chooses West Hartford as new HQ - Hartford Business"
Post a Comment