State-owned communications and cyber security provider Kordia is buying Auckland-headquartered Base2.
Base2 offers managed IT, network, and security solutions with a cloud competency focused on the Microsoft ecosystem, Adobe, and other vendors, as well as certifications in Cisco, Azure, AWS, VMware and CompTIA, among others.
Kordia said the acquisition followed a global trend of convergence between IT service providers and telecommunications and connectivity providers.
Kordia said the buy strengthened its offerings around the modern workplace in particular.
Base2 was established by Greg Sharp, Andrew McBeath, and Ian Baker in 2008. The now 30-strong team will join Kordia as an independent business unit.
Kordia said the acquisition established it as a complete modern workplace, connectivity, cloud, cyber security, telecommunications, and networking solution provider.
“For years, the force of convergence has pushed the IT and telecommunications worlds closer together," Kordia Group CEO Shaun Rendell said.
"Clients today are looking for single-source solutions spanning connectivity, cloud infrastructure, applications, and networks."
Base2 was voted New Zealand’s number one IT managed service provider for three years running in the Channel Futures MSP 501 List (previously MSPMentor.net) and has also won seven Reseller News Innovation Awards.
“We are adding a proven modern workplace solutions provider, with an extensive base of more than 200 customers and an impeccable reputation to Kordia’s network," Rendell said.
"Kordia now has a considerably expanded capability set which will appeal to existing customers and potential clients around New Zealand."
Kordia has for several years consistently built out its portfolio through acquisitions and organic growth.
It acquired leading cyber security consultancy Aura Information Security for $10 million in 2015 and followed that with the buyout of specialist cloud consultancy EMRGE last year.
Rendell said businesses are actively embracing new technologies and cyber security services as they transform using digital and cloud solutions.
“Organisations everywhere are increasingly reliant on trusted partners capable of navigating the path to digital capability with minimal operational disruptions," he said.
"These market conditions are behind the proactive evolution of Kordia’s offerings, equipping our company to meet current and future requirements.”
Base2 managing director Greg Sharp said joining Kordia provided the division and its customers with a unique value proposition.
“Without reliable connectivity and robust security there is no cloud," Sharp said.
"The combination of modern workplace solutions with the country’s leading business ISP means single sourcing with proven capabilities across the complete technology stack.
"This will accelerate transformations at a time where being digital and in the cloud is increasingly recognised as a plain necessity.”
Sharp and McBeath will remain with the business, with Sharp taking responsibility for day-to-day operations and McBeath taking on a strategic technical role.
Following a period of transition support, Baker will be leaving Base2.
A few days ago, Base2 changed its registered name at the Companies Office to MSB 2021 Ltd.
No sale price was disclosed.