- Cloud computing company iomart Group has taken over Melbourne Server Hosting for a maximum cash consideration of up to £7.0 million. Melbourne is a Manchester-based provider of managed hosting solutions to more than 600 customers.

Melbourne operates its own datacentres in Manchester, providing iomart with additional datacentre capacity.

As well as the addition of spare capacity, this fills a geographical gap in the iomart datacentre estate and provides a sales platform to address the North of England market.

Melbourne's turnover in 2011 was £2.9m with earnings before interest, tax, depreciation and amortisation of £0.63m and net assets of £0.26m.

At completion, Melbourne is expected to have a net debt position of £0.17m.

At 9:22am: [LON:IOM] Iomart share price was +3p at 160p

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