Market Overview

EarthLink to Acquire IT Solution Center and Hosted Application Business from Synergy Global Solutions


EarthLink, Inc. (NASDAQ: ELNK) has signed an agreement to purchase the IT Solution Center and hosted application business from Synergy Global Solutions, a provider of hosted IT products, services and solutions based in Western, NY. This acquisition will provide EarthLink with scalable 24x7x365 IT service support capabilities to allow customers to outsource critical IT services in a cost efficient manner.

The IT Solution Center is comprised of a Help Desk, Network Operations Center and remote care platform that provide SAS-70 certified services, tiered network support and monitoring, remote technical management and support across a wide range of networking and operating system platforms. The acquisition is expected to close before the end of the year, subject to satisfaction of customary closing conditions.

Under the terms of this agreement, EarthLink will also assume relationships with approximately 120 Value Added Resellers (VARs) that currently sell the Solution Center and hosted application services. EarthLink plans to leverage this distribution channel to offer those VARs additional EarthLink Cloud and communications solutions. Additionally, EarthLink plans to extend the IT Solution Center services to its base of over 100,000 business customers and through its existing sales channels.

Posted-In: News M&A


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