Redwood City, California – (The Hosting News) – October 16, 2006 – Managed service provider and systems integrator, FusionStorm, has acquired top-tier IBM Premier Business Partner and Government solutions provider, Jeskell, Inc., based in Sunnyvale, California. According to FusionStorm, the acquisition has driven revenues to nearly $400 million.
Southwest Securities, Inc. was the exclusive financial advisor and placement agent for FusionStorm in connection with the transaction. The two companies will retain their individual identities, market specialties, and present employees. John Varel, CEO of FusionStorm commented, ”We spent the time and researched hundreds of IT solution providers serving the Federal and Public Sector market and we chose Jeskell because we saw them as the biggest and best IBM Government and Education IT solution provider around.”
Jeskell will continue its exclusive alignment with IBM products and its primary focus on the Public Sector. It will operate from its headquarters in Sunnyvale, California with its present management as an autonomous, wholly owned subsidiary of FusionStorm. Javed Khan will continue as president. At the same time, the company will be able to call on FusionStorm’s extensive portfolio of professional and managed services as needed. Mr. Jeskell will also leverage the FusionStorm top-tier relationships with complementary technology suppliers, like Cisco Systems.
Javed Khan, Founder and President of Jeskell added, ” I want to make clear,Ã¢â‚¬Â said Ã¢â‚¬Å“that we remain 100 percent committed to IBM. However, in product and service areas where IBM may not have an appropriate offering, we see the FusionStorm competencies as strong value-adds. We are excited about the possibilities.”
Annual sales for Jeskell are $132M, and they were named the 2006 Government IT Solution Provider of the Year by GovernmentVAR magazine. They are also recognized by IBM as a Public Sector Star.
Mr. Khan continued, ” It is especially gratifying to me. that this deal is being done with absolutely no personnel changes. All of our employees will have greatly expanded opportunities for personal and professional success.”
Established in 1991, Jeskell is an IBM Premier Business Partner focused exclusively on delivering IT solutions, based on IBM products and services, to educational institutions and government organizations nationwide. The company is one of the very few IBM partners fully certified for all IBM server, storage, and software products Ã¢â‚¬â€œ including mainframes. Jeskell is regularly in the top five percent of all IBM business partners and consistently ranks among the leaders in IBM customer satisfaction surveys (96% in the latest survey).
TICC is a publicly traded business development company principally engaged in providing capital to small to mid-size technology-related companies. While the structures of our financings vary, we look to invest primarily in the debt of established technology-related businesses.
Southwest Securities, Inc., a member of the New York Stock Exchange and other major exchanges, provides securities brokerage, investment banking and securities clearing services to a broad range of individual, corporate, public and industry clients. The firm is a wholly owned subsidiary of SWS Group, Inc. (NYSE:SWS), a financial services holding company whose stock is listed and traded on the New York Stock Exchange under the symbol, SWS.
FusionStorm is a national provider of IT products, professional services, support contract services and 24×7 managed services for enterprises of all sizes. The company delivers complete solutions for system infrastructure, storage, networking, voice-over-IP, security, database, disaster recovery, managed hosting and remote managed services. FusionStorm offices include San Francisco (HQ), Santa Clara, Sacramento, Los Angeles, San Diego, Las Vegas, Chicago, Cincinnati and Boston.
To learn more about Jeskell, please visit: www.jeskell.com.
For more information about FusionStorm, please visit: www.fusionstorm.com.