8x8, Inc. (NASDAQ:EGHT), a provider of cloud communications and collaboration solutions to more than 35,000 business customers, today announced it has signed a definitive agreement to acquire privately-held Voicenet Solutions, one of the leading providers of cloud business telephony and communications services in the United Kingdom, for $18.4 million in cash. The transaction is subject to customary closing conditions and is expected to close before the end of the calendar year.
Considered a pioneer in the UK market since 2004, Voicenet Solutions provides a range of award-winning unified communications services supporting both SMB and mid-market businesses, including fixed mobile convergence applications that offer the features and functionality of desktop business phone solutions on smart phones.
“The acquisition of Voicenet clearly demonstrates the execution of our international expansion strategy as well as our move upmarket,” said Vik Verma, Chief Executive Officer of 8x8. “With its existing operational footprint, team of highly skilled and dedicated employees, solid mid-market and distributed enterprise customer base, and outstanding reputation in the UK, Voicenet provides 8x8 with an excellent opportunity to replicate in Europe the successful, profitable SaaS communications and collaboration business we’ve built in North America. We view this expansion model as a key component of our Global Reach initiative and, including this acquisition, we continue to target non-GAAP net income as a percentage of revenue in the high single digit range.”
Verma continued, “This acquisition provides 8x8 an operational presence in Europe to support our US customers with multinational offices and at the same time enables Voicenet to market a broader range of services to its installed base of customers. We look forward to welcoming our new Voicenet employees to 8x8 and providing their UK customers with our comprehensive, secure and reliable cloud communications and collaboration services.”“Voicenet has an established base of over 1,000 business customers and is well respected in the UK market,” said Kevin Scott-Cowell, CEO of Voicenet Solutions. “8x8 has a suite of cloud communications and collaboration services which will strengthen and extend our existing portfolio of services among our growing base of UK and multinational customers.”