ScanSource, a Greenville-based global provider of technology products and solutions, announced on Monday a definitive agreement to acquire Intelisys Communications Inc., a technology services distributor of business telecommunications and cloud services. With 2015 gross commissions of $120 million, Intelisys distributes services for the world’s leading telecom carriers, cable companies, cloud services providers and technology partners through the channel’s top producing sales partners.
Based in Petaluma, Calif., Intelisys “provides agents and value-added resellers (VARs) with an extensive portfolio of services, support and enablement tools to sell cloud and connectivity services,” according to a statement. ScanSource VARs will gain access to Intelisys’ portfolio of cloud services offerings, said the statement.
Under the agreement, the all-cash transaction includes an initial purchase price of approximately $83.6 million, plus earn-out payments based on earnings before interest expense, taxes, depreciation and amortization (EBITDA) over the next four years.
“Intelisys is unmatched in the master agency space, and their two-tier model is an ideal fit with our culture and way of doing business,” said Mike Baur. We are entering a high-growth, recurring revenue business that is complementary to our current business and represents a compelling opportunity for our VARs. Since our founding nearly 25 years ago, ScanSource has effectively taken complex market opportunities and created avenues for customers to be successful. Acquiring Intelisys and their immense expertise and talent will be instrumental in helping our combined sales and supplier channels build on that success.”