Business VoIP Featured Article

Crexendo to Buy NetSapiens

March 15, 2021

UCaaS solutions provider Crexendo offers enterprise-class cloud services for businesses of all sizes. Focused on the growth, the company recently announced a definitive agreement to purchase cloud-native communications platform NetSapiens.

Details of the transaction are subject to approval from both company’s shareholders.  The purchase is approximately $50M, which includes $10 Million in cash and the remainder in stock consideration.

Crexendo offers its cloud, call center, and collaboration services at affordable monthly rates so that businesses can enjoy enterprise-class benefits without all of the upfront costs and fees typically associated with on-premises solutions.

The purchase of NetSapiens will allow the company to offer even more tools to their service provider customers.

NetSapiens offers UC, video conferencing, Collaboration & contact center solutions for millions of users worldwide. It’s best known for providing flexibility, profitability, and ease of use with its offerings.

Commenting on the acquisition, Anand Buch, co-founder, and CEO of NetSapiens, said, “This agreement with Crexendo is a testament to the value NetSapiens has created and the reputation our team has built. This partnership with Crexendo will enable us to move faster, be more agile, accelerate our strategic vision, and ultimately deliver deeper, more powerful solutions that help our service provider community thrive."

Shareholders are expected to meet in April or May 2021 with closing expected to occur shortly thereafter.

Steven G. Mihaylo, Chief Executive Officer at Crexendo, noted that this is the “first material accretive acquisition” for the company, which was made possible thanks to a strong bond created between both companies and their team members.

“Crexendo will be able to increase its offerings and size using the NetSapiens technology and will further benefit from a wealth of additional engineering, sales, and marketing talent. The NetSapiens team will benefit from the Crexendo resources and public company cache to continue their growth and enhance their offering portfolio. I could not be more excited about this acquisition, the benefits for both companies and our future. We believe that this transaction is going to increase shareholder value substantially. I look forward to welcoming Anand and his team, and I know we will make a winning combination," Mihaylo said.

Earlier this year, NetSapiens announced its SNAPsolution platform user base, which grew during the pandemic and a shift to remote working, had reached the highest level it had seen before with 1.7 million - and marking a 70% growth over the last calendar year.

Edited by Maurice Nagle


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