Vancouver-based Peer 1 Network Enterprises Inc. is acquiring UK-based managed hosting provider NetBenefit Limited in a deal worth $38.5 million, the firm announced today.
Peer 1 is buying all outstanding shares of the London company with cash on hand and a $25 million accordion facility credit backed by the National Bank Financial Inc. It will integrate NetBenefit’s business and migrate its servers to Peer 1’s existing 57,800 square foot data centre in the UK. The company operates its European headquarters out of Southampton, UK.
Founded in 1999, Peer 1 is a managed hosting provider that runs 18 data centres, 22 points-of-presence, and 10 colocation facilities in North America and Europe. It has more than 10,000 customers worldwide and offers services such as managed hosting, dedicated servers, colocation and cloud services.
NetBenefit was founded in 1995 and provides managed hosting designed for business-critical Web sites, applications and online advertising campaigns.
In April, Peer 1 upgraded its partner program to encourage referrals, awarding a monthly commission and providing dedicated channel representatives for partners.
The sale is expected to close before June 30, 2012.