Claranet Limited and Via net.works Inc. (Nasdaq: VNWI; EASE) today announced the sale of the United Kingdom operation of Via net.works Inc. to Claranet for £7.3 million in cash.
Deal terms Under the terms of the agreement, VIA received £5.3 million in cash upon close of the sale, with £2.0 million cash held in escrow, half of which is to be paid in six months and the other half after one year.
Following our past acquisitions on the continent and last year's acquisition of Netscalibur, Claranet is consolidating its position as the leading non-telecommunications Internet Service Provider to business, adding to the group's revenues and profits.Charles Nasser, CEO, Claranet Group
Commenting on the sale Rhett Williams, VIA's CEO, said:
Following our acquisitions of Amen and PSINet Europe this year, this transaction furthers the emphasis of our revenue mix towards hosting, security and other managed services. It also allows us to focus on our core operations in continental Europe and the US. As required by the SEC, we are filing a form 8K detailing the transaction.
Transition To ensure an orderly transition, Claranet will have the right to use the VIA NET.WORKS UK brand for a limited period of time. VIA's UK customers will continue to enjoy the same quality of service, while now having access to the full Claranet suite of products.