Acquisition of Panacea Services strengthens CDW’s managed services and virtualisation capabilities and creates a combined business with revenues in excess of £140m
CDW, the UK’s leading mid-market IT reseller, has today announced the acquisition of London-based HP and VMware partner Panacea Services Ltd. Panacea’s expertise in managed services and virtualisation will bolster CDW’s portfolio, complementing its established strengths in product, consultancy and lifecycle solutions.
Established in 1992, Panacea Services offers storage solutions, IT consulting, information lifecycle management and next-day supply of hardware and software. The company employs in the region of 110 staff, with 70 percent of them focused directly on providing project and technical services. The company is headquartered in London and has technical support centres in the Midlands, Edinburgh, Amsterdam and the United Arab Emirates.
Peter Stroud, managing director of Panacea Services, joins the CDW board and assumes the role of head of CDW's solutions and services offering. Stroud comments: “We are delighted to be joining forces with CDW in a move that will be hugely beneficial to both parties. Panacea Services has gone from strength to strength since its inception in 1992 to its current position as an agile and profitable leader in managed services and virtualisation. CDW’s investment in Panacea Services underscores our position as one of the UK’s premier value added resellers and will enable us to continue to serve our loyal customer base as the leading IT infrastructure systems provider for London, and to work with new customers throughout the UK.”
This latest acquisition sees CDW deliver ing on its ambitious growth plans after the company posted record revenues of over £55 million for the first half of its 2008/9 financial year. The integration of Panacea Services creates a combined business with revenues in excess of £140m.
“The acquisition of Panacea Services represents another dynamic move forward for CDW and a key step in strengthening our position as the UK’s foremost mid-market IT reseller,” says Phil Doye, CDW’s Chief Executive Officer. “We are pleased to welcome Peter Stroud to the board and with the addition of Panacea Services’ expertise in managed services and virtualisation we see great opportunities for our existing clients. We will continue to seek out further complementary additions to the company, enabling us to fulfil our growth plans despite this tough economic climate.”
Both CDW and Panacea Services are HP Gold accredited partners. In 2008 Panacea was named HP’s Mid-Market Preferred Partner of the Year. Commenting on the acquisition Dave Poskett, director of Solutions Partner Organisation for the UK & Ireland at HP, says: “It is encouraging to see two of our Gold accredited partners coming together. This can only help their respective HP customers, and HP looks forward to supporting them in their continued growth. Both CDW and Panacea’s existing customers stand to reap significant business benefits from the combined and complementary expertise of these two leading players in the channel.”
In addition to its status as an HP Gold accredited partner, Panacea Services was the first VAR in EMEA to deliver VMware as an OEM solution. Its standing within the virtualisation community was further enhanced when it received VMware’s coveted EMEA Rising Star award, placing Panacea firmly in the top tier of specialist VMware partners.