3rd May 2022 09:32
(Alliance News) - Mitie Group PLC said on Tuesday it has made further acquisitions as the outsourcer seeks to broaden its telecoms offering.
The London-based facilities management and professional services firm acquired 8point8 for GBP10 million. 8point8 provides design and construction services, mostly for mobile telecoms tower infrastructure.
The acquisition covers three companies, 8point8 Support Ltd, as well as its training provider 8point8 Training Ltd, and specialist contract lifting business Vantage Solutions Ltd.
It will be accretive to earnings, Mitie said.
The acquisition, paid in cash and funded from Mitie's existing facilities, is intended to strengthen its Telecoms Support Services company, which will offer design and construction services, as well as maintenance.
8point8 generated GBP18.3 million revenue in 2021, and GBP600,000 pretax profit. Mitie forecasts revenue for the business to grow "significantly" with the rollout of 5G networks in the next three to five years, and the replacing of Huawei infrastructure.
"The acquisition of 8point8 substantially increases our capacity within the fast-growing mobile telecoms sector and adds another well-respected team to the Mitie Telecoms business," said Mitie Telecoms Managing Director Andy Train.
Shares in Mitie were up 2.0% to 55.29 pence each in London on Tuesday morning.
By Elizabeth Winter; [email protected]
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