Oct 6, 2004 : Destra Acquires Techex Communications

📅 October 6, 2004 - Australian Web hosting provider Destra (destra.com -> hostinger.com) announced on Wednesday that it has acquired Techex Communications (techex.com.au), a provider of data communication services. Destra's will pay $1.5 million for Techex with $1.2 million in Destra shares and $300,000 in cash. Subsequent payments of an undisclosed amount are to be paid out after a 12-month earn-out period, Destra said.

"The data communication services supplied by Techex are complementary to the hosting and domain registration services provided by Destra, allowing us to offer a one-stop shop solution to our expanding customer base," says Domenic Carosa, CEO of Destra. "This acquisition is an important step in Destra's broader strategy to increase its total business solutions, breadth of product offering and growth in business customer numbers."
Destra, which recorded $9.1 million in revenue for the fiscal year 2004, said it is on target to be profitable in the current financial year and expects the acquisition to bring additional profitability. Techex generated revenues of $4.5 million in fiscal year 2004 with EBIT profit of over $700,000.
The company said synergies between its enterprise Web hosting division OzHosting.com Advanced and Techex offer a number of cross selling opportunities.
"Our union with Destra complements our market offering with best of breed hosting, server colocation and domain registration services," says Chris Collinge, managing director of Techex. "We will now be able offer our customers a full range of services with a single point of contact and a single bill. In an increasingly complex business environment, we believe this is the future of service provision in Australia and we are confident that Destra will be right at the forefront."