Crimsonwing buys Dutch company

Malta-based IT solutions company Crimsonwing is to acquire VDA Informatiebeheersing BV of The Netherlands, for €1.9 million. The transaction is expected to close on or around the first week of July. Crimsonwing currently provides IT solutions to blue chip clients across five European countries.

“This acquisition is in line with Crimsonwing’s specifically stated strategy to bring additional and larger companies into the Crimsonwing Group,” the company said.

The acquisition will be funded through a combination of cash and debt financing of €1.5 million, allowing Crimsonwing the capacity to continue to pursue its strategy with further future acquisitions.

Crimsonwing explained that with historic annual revenues of €3.4 million, VDA had found it difficult to grow due to resource constraints.

“As part of Crimsonwing, VDA will be able to exploit the synergistic benefits working with Crimsonwing ’s Malta Solution Centre. Additionally there will be immediate operational cost savings.”

VDA is a well established IT professional services business specialising in the Broadcasting (Radio/TV), Media Agencies, Publishing and Cable/ISP sectors. The acquisition brings over 60 new clients to Crimsonwing, together with associated product licence and intellectual property.