Orange, considered to be France’s most substantial telecommunications company, has announced that it has agreed to acquire cloud services provider Basefarm Holding AS in the aim of expanding its own offerings across Europe.
The deal, valued at €350mn, will significantly bolster Orange’s position in the cloud computing market across Europe and the rest of France, with Basefarm’s 550 employees set to join Orange’s team of 1,600 experts within its Business Services division.
“We are very proud to announce the acquisition of Basefarm, which will mark a major milestone in our international development,” said Helmut Reisinger, CEO of Orange Business Services. “In particular, the company’s integration will enable us to significantly extend our Big Data and critical application management services on a rapidly consolidating market.”
Basefarm recorded revenues of more than €100mn in 2017, boasting of a strong presence in Norway, Sweden, Austria, Germany and the Netherlands, operating within the cloud computing, big data and artificial intelligence service markets.
“In addition to our ability to offer access to public or private cloud infrastructure, it is above all our capacity to propose enriched, automated services to our customers, wherever they are in the world, that will enable us to support companies as they transform onto new, digital models based on cloud-computing, big data and artificial intelligence,” Reisinger continued.
Currently, Orange Business Services is growing at approximately 15-20% annually, with this acquisition expected to help accelerate this moving forward.
The acquisition is expected to close in Q3 2018, subject to customary regulatory approvals.