Midland Comms has served SMEs across the Midlands for nearly 50 years, providing more than 500 customers with communications solutions.
Cloudstream’s MSP business has more than 350 customers across Scotland, the North of England and Northern Ireland. The two acquisitions will see more than 30 new employees join Babble.
The two new acquisitions collectively add £4.5 million revenues, 90 per cent of which is recurring. This takes Babble’s overall revenue run rate past £100m per year.
Matt Parker, CEO, Babble (pictured), explained, “These two strategic acquisitions significantly strengthen our position as the only UK cloud service provider of both comms and IT solutions at scale. They bring high quality retained customers and fantastic, expert people into Babble.
“This also further extends our geographical reach across the UK, bolstering our ability to offer nationwide coverage with local support to give customers the best possible levels of service.”
Babble has made five acquisitions in the first quarter of 2023 as part of a broader strategy to establish itself as a leading cloud service provider with scale in both comms and IT.
Venture Corporate Finance advised the shareholders of Cloudstream during the transaction. Ian McLellan, managing director, Cloudstream, said, “The work Stephen Taylor did in particular was outstanding.”