Telecommunications services provider Otelco Inc
has bought managed services provider Reliable Networks, which is based in Maine, Florida. The move is designed to enable the company to strengthen support for its VoIP, email, database and software applications activities. Reliable Networks will be absorbed by Otelco and act as a division of OTT Communications. The deal cost Otelco an initial $500,000 with the remainder of the cost being paid in stock over a three-year period.
Otelco Inc. offers services in the US states of Alabama, Maine, Massachusetts, Missouri, New Hampshire, Vermont and West Virginia and manages around 96,000 voice and data access lines. Alongside managed services, Reliable Networks offers SOC 2 Type II audited services alongside consulting and private/hybrid cloud hosting services. Established in 2003, Reliable Networks caters to mainly corporate and educational customers who need consistent uptime for "mission-critical applications".
“Our business customers increasingly are turning to us to expand our hosting and managed services capabilities to be able to provide seamless, turnkey services anchored by our high-quality connectivity offerings,” explained Otelco's CEO, Mike Weaver. “Over the years, we have successfully collaborated with Reliable Networks on larger, more complex VoIP telephone infrastructure deployments. Leveraging the networking and application hosting expertise of Reliable Networks by acquiring the company is a natural, evolutionary extension of our current product and services offerings to support the substantial growth of our Hosted IP Voice PBX Product.”Do you know of any other companies involved in acquisitions? Let us know the details. Add your comments below.