Intrinsic Technology chief exec Mike Mason has led a management buy of the Merseyside-based reseller backed by venture capitalist RJD Partners.
In a statement, Mason confirmed the MBO team had bought the business from founder and majority shareholder Allan Gauld for £30m, an eye-watering price despite healthy 2010 results.
Mason, who joined the IT and unified comms (UC) reseller in November 2009, said he was aiming to build the business organically and through "acquisition opportunities presented in a dynamic but fragmented market".
"RJD are experienced investors in the IT services sector and fully share our ambitious vision," he added.
The private equity player's portfolio already includes UK channel firms Comtec, Stone Group and ISG Technology.
Intrinsic also has offices in London, Thames Valley, Bellshill and Glasgow, flogging virtualised desktops and data centres, UC and applications including contact centre and mobility solutions.
The price tag for the Gold certified HP, Avaya and Microsoft reseller is more than 13 times the £2.3m EBITDA Intrinsic made in fiscal 2010 ended 30 November. Sales for the year grew 32 per cent to £27.4m.
One industry onlooker baulked at the cost of the MBO, saying, "I'm not disputing that Intrinsic has done well but £30m is a lot of cash to stump up for the business."
Intrinsic's January acquisition of troubled reseller Dataplex, which was placed into administration prior to Christmas, will add approximately £12m to the top line, the firm said in its 2010 filing.
Channel veteran Mason – who during his career has also worked at Elcom, Equant, Total Network Solutions, BT and most recently ABSnet – was unable to comment further. ®