Evolve IP Acquires Cloud Comms Company Mtel To Continue International Push

Channel-focused cloud service provider Evolve IP is going global. The firm has acquired Netherlands-based cloud communications company Mtel to extend its geographic reach into Europe.

Wayne, Pa.-based Evolve IP has its sights set on expansion and is planning to do so through a combination of M&A activity and organic growth, Guy Fardone, Evolve IP's president, told CRN.

"We are merging with Mtel because of their expertise and their geographic leadership in the contact center services in Europe," he said. "But primarily, because our partners really asked us to expand internationally."

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Evolve IP does about 60 percent of its sales through the channel, and both partners and end customers have been dictating the need to expand internationally, Fardone said.

"We are seeing U.S.-based channel partners open up offices overseas, and U.S.-headquartered businesses with offices abroad, so it's very compelling for us to grow geographically."

Mtel's portfolio includes contact center functionality, IP phone systems, and business collaboration tools.

Like Evolve IP, Mtel also has a robust channel program, Fardone said. For the time being, Mtel's channel partners can expect to continue to work with Mtel on a "business as usual" basis.

"Our product sets will eventually come together, but the Mtel team is really going to be leading our expansion into Europe and onward," he said.

Evolve IP's portfolio today consists of disaster recovery, contact center products, unified communications, and virtual desktop solutions. Combined, Evolve IP's partners and end customers will have access to Mtel's advanced interactive voice response (IVR) technology and self-service capabilities.

Mtel partners will have access to Evolve IP's contact center platform.

'We believe that combined, the contact center solution will be a really robust offering" Fardone said. "[Mtel's] contact center features are something that we candidly have yet to see in the market."

Mtel will retain its name but will operate as an Evolve IP company for the first few months, after which it will transition to Evolve IP Europe. Mtel's 60 employees and managers in the Netherlands and Germany will be staying on with the company, Fardone said.

Financial terms of the deal are not being disclosed.

Fardone said that with the help of Mtel, the combined company will be pursuing more international M&A opportunities.