French network, storage and security VAD Exclusive Networks has announced that it was strengthening its UK presence by acquiring for an undisclosed sum (based on a combination of cash and shares) its competitor VADition. VADition also owns a recently-created sales office in the Netherlands, which will be merged with the Dutch office of Exclusive Networks. The acquisition sees VADition's senior management team (co-founders Neil Ledger and Ian Morris) assume responsibility for Exclusive's UK business operations as joint CEOs. VADition's Hampshire based operations will now become the Group's 24/7 service and support centre for Europe, and when combined with Exclusive's existing Chesterfield business, will significantly increase the Company's national footprint and reach across the UK to better serve the needs of its VAR partners. The acquisition should allow Exclusive Networks to more than double its turnover in the country, to about €60m : a very important move for the distributor, as the United Kingdom is the main European IT network and security market. Given the growth plan of Exclusive Networks, the distributor plans to keep the whole VADition team. For the next six months, VADition name should also be kept, then left aside. In the Netherlands, the two offices and names should also be kept separated.
Although operating across similar market sectors, there is very little vendor cross over between the two organisations which represents interesting opportunities for their vendor partners and reseller channels alike. Exclusive Networks will more particularly benefit from VADition's corporate reseller base and will secure rights in the country for some of its main global vendors like Fortinet or Palo Alto. Next step for Exclusive Networks should be – at last – Germany, which is the last main European country where the company is still absent.