SHARE

AUCloud Spends Big, Buys 3 Service Providers for $30 Million

AUCloud spends $30 million to acquire three new companies, with a particular focus on cyber security. It is by no means the only company making such acquisitions.

Written By: Matthew Sainsbury

Mar 19, 2024

Channel Insider content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

AUCloud, which last week announced a bevy of managed services solutions to deepen its capabilities in cyber security, has announced three major acquisitions with a total value of almost $30 million.

The first and largest of the three is Sydney-based consultancy PCG Cyber. With a specialty in government security advice and operations, it aligns closely with AUCloud’s sovereign cloud capabilities. For it, AUCloud is spending $15 million.

The second, Venn IT, is based in Queensland and South Australia and is an MSP that largely supports mining, financial services, education and distribution. It cost AUCloud $6 million. Finally, Arado is another Queensland-based managed services provider, with a focus on agriculture, industry, health and resources. AUCloud is paying $7 million for it.

“The announcement of the acquisitions marked a significant step in our commitment to enhancing our comprehensive suite of cyber security and secure cloud solutions for our customers and positioned the company on a transformational growth trajectory,” AUCloud CEO and managing director Peter Maloney said in a statement.

“This expansion executes on the strategic review announced in June 2023, to build, partner & acquire new capabilities in cyber security and partner in the multi-Cloud and Public Cloud markets to leverage the capital invested in the existing four Sovereign Cloud platforms.”

This investment is particularly significant for AUCloud, given that it is forecasting an FY25F revenue of $36.6 million.

In the statement, the company also flagged that it plans further M&A activity to “scale up quickly.”

Battle for cyber dominance heats up

AUCloud’s urgency underscores many of the other movements occurring across the Australian channel currently. In recent weeks, MSP Spirit announced a pivot to cybersecurity with a major acquisition despite declining profitability. Another major MSP, Atturra, invested in building a managed security practice in partnership with MyCISO.

Meanwhile, US-based Evergreen Services Group recently announced the purchase of its first Australian-headquartered MSP in Canberra-based Centrered. Centrered’s suite of services also includes a strong focus on managed security solutions.

Matthew Sainsbury

Matthew is a Sydney-based multi-disciplinary journalist that has covered IT for 15 years. . In particular, he covers B2B IT and other channel topics in the APAC region. In addition to Channel Insider, Matthew’s work has been published on ARN, where he previously served as the editor, as well as CRN and AFR. On the side, Matthew is an award-winning arts and entertainment critic and author, and he also participates on the judging panel for the Australian IT Journalism Awards.

AUCloud Spends Big, Buys 3 Service Providers for $30 Million

Battle for cyber dominance heats up

Matthew Sainsbury

Recommended for you...

Company

Categories