Trustmarque and Ultima announce merger plans

The phrase “get big, get niche or get out” clearly still resonates in the channel, with the move by Trustmarque and Ultima Business Solutions to merge creating a significant UK channel player.

The combination of technology services player Trustmarque and managed services provider Ultima will create a sizeable outfit that can cover many bases and deliver a wide range of services.

The tie-up is a response to evolving customer demands for more expertise from their technology partners. Both firms have established channel expertise and have built up their reputations over the years to be seen as major player.

The numbers around the combined operation are compelling, with GII on track to reach £1bn, with a workforce of 1,000-plus serving a joint customer base that totals above 3,000 across seven locations in the UK and globally. Those user relationships range from FTSE 100 companies to the public sector and parts of the UK government.

The tie-up also creates an operation with an impressive range of vendor relationships and accreditations, including Microsoft, Cisco, IBM, Hitachi Vantara, HP, Palo Alto and Citrix.

Simon Williams, CEO Trustmarque, said that the combination would create a major player operating in the UK and on the global stage: “Together, we are a powerhouse for managed services and digital innovation across the UK and globally. This merger brings together complementary strengths to create greater value for our people and our clients.

“Building on Trustmarque’s strong Microsoft and Cisco heritage, we are combining the breadth of services and scale needed to deliver, with the depth of expertise and experience that comes from our united teams This gives us more opportunities to anticipate our clients’ needs, stay ahead of changes in their industries and unlock new opportunities together.”

Jamie Beaumont, CFO Ultima, agreed that the tie-up would create more opportunities for the business and increase the ability to meet a wider range of customer demands: “This is a major milestone in our growth strategy. From the outset, it has been clear that there is exceptional complementarity between Trustmarque and Ultima, with the potential to combine scale with specialist expertise.

“Together, we offer a comprehensive, integrated range of services and support, delivered by exceptional talent that our customers rightly value. Our immediate priority is to complete the transaction and ensure a smooth transition in the coming months for all our customers and partners, while unlocking the full potential of the group,” he added.

The plan is for Williams to become the group’s CEO, with Beaumont as CFO, with the rest of the senior management team being filled by executives from both firms.

Until the merger is wrapped up, both Trustmarque and Ultima will operate as separate businesses. The deal has the backing of several private equity players, including One Equity Partners and Apse Capital.

Trustmarque Group has been trading since 1987, employing 550-plus staff out of a York HQ. Ultima started life in 1990, employs around 450 people and runs out of a base in Reading.