​Spark expands cloud services with Computer Concepts Limited acquisition

Spark New Zealand has bought Computer Concepts Limited for NZ$50 million as part of ongoing plans to expand its cloud services.

Spark New Zealand has signed a conditional agreement to acquire IT infrastructure and professional services company Computer Concepts Limited (CCL).

The deal, valued at NZ$50 million, forms part of the company's strategy to continue to grow in the New Zealand market. This will see the company gain immediate access to CCL's cloud capabilities, and datacentre capacity in Christchurch and other South Island locations. At the same time, CCL will continue to run as a standalone business.

Tim Miles, Spark Digital CEO, said CCL will be complementary to Spark New Zealand group's cloud and platform IT services offer.

"CCL is complementary to Spark Digital. Its acquisition also reinforces Spark Digital's commitment to business in the South Island, following significant investment in a new datacentre in Christchurch (Perimeter Road), and a recent expansion of Spark's Dunedin datacentre," he said.

The acquisition is in addition to the company's earlier purchases of Revera and Appserv. The deal will take the company's employee numbers in the South Island to approximately 1,200 people.

CCL chief executive Andrew Allan said the move will see the company gain access to Spark Digital's resources and help accelerate the company's growth.

"And importantly for our customers, CCL will retain its own unique way of working. Our customers should expect the same total commitment to their future success, with the added power of Spark New Zealand behind us," he said.

In September, Spark teamed up with cloud email security company SMX to trial a new email service targeting small and medium sized businesses. As part the deal, Spark moved existing customers on its business email platform, Officemail, to the new service. Officemail is expected to be shut down before the end of the year.