Capita acquires Electranet in £37m deal

LONDON (ShareCast) - (ShareCast News) - Customer management services Capita (LSE: CPI.L - news) has acquired IT (Other OTC: ITGL - news) network provider Electranet for £37m, as it seeks to expand its capability to build new IT enabled solutions. The FTSE 100 group said the newly-acquired group, which supports high profile government and private sector customers, will join Capita's IT enterprise services division and will integrate its services in a number of key sectors.

"The acquisition of Electranet will enable an evolution of our secure IT infrastructure capability," said group chief executive Andy Parker.

"This business will allow Capita to build on its existing expertise and deliver highly secure services to both new and existing customers." In the 12 months to 28 February, Electranet reported pro forma operating profit of £2.7m on a turnover of £15.1m and is forecasting an operating profit of £5.1m on turnover of £26.4m in its current financial year to 28 February 2016.

Capita shares were up 1.59% to 1,216.00p at 0919 BST on Friday.