Inabox (ASX:IAB) says the deal will double the number of the group’s engineers based in Western Australia and extend Inabox’s cloud capabilities on the western seaboard.
The acquisition follows last month’s announcement by Inabox of the acquisition of cloud hosting company Hostworks for $7 million.
The deal with Logic sees Inabox paying $1.5 million in cash comprising a $1 million upfront payment and $0.5 million deferred for six months to FY 2018.
Damian Kay, chief executive of Inabox, says “This is another acquisition that we expect to be strongly accretive in FY18, bringing with it more than an additional $1 million of EBITDA to the Inabox Group results.”
“We’re pleased to have acquired another great company, Logic Communications, with its product offering that complements Inabox’s and a strong client base which builds on our current footprint in Western Australia.
In a statement to the ASX, Inabox says it already operates a strong Perth presence, with particular focus on key vertical markets including education and health.
Kay said the acquisition expands Inabox’s footprint in Western Australia, and demonstrates Inabox’s commitment to its Perth presence and its intention to grow its national offices to leverage its national capabilities.
“The acquisition also adds 14 engineers to bolster Inabox’s resources in the State,” Kay said, adding that it expands Inabox’s presence in the Western Australia market, bringing across a Logic portfolio of 50-plus SME clients.