Pivot Technology Solutions

Pivot Technology Solutions is the Canadian producer of infrastructure IT solutions.

History

2020: Computacenter купила Pivot Technology Solutions

At the beginning of September, 2020 Computacenter purchased the Canadian IT service provider of Pivot Technology Solutions for $80.26 million. The transaction was approved by council of the Canadian firm, but still requires approval from shareholders.

It is known that the Pivot company receives 85% of the revenue from the USA, at the same time in 2019 its sales made $1.2 billion. The future transaction will allow Computacenter to expand the user base and the opportunities in the American market and also to satisfy needs of the international clients. Computacenter notes that among clients of Pivot it is possible to detect many large enterprises of the USA, and the TeraMach Technologies subsidiary company specializes in public sector of Canada.

The IT service provider of Pivot Technology Solutions is sold for $80 million

Computacenter has clients in many countries thanks to what can become the excellent partner for Pivot in the USA and Canada, - the president and the CEO of Pivot Kevin Shank noted. - Merge of the American divisions of the companies will allow us to scale the organization and to improve provision of services to both former, and new clients.

The American division of Computacenter completely integrates the Pivot resources that will allow to double revenue and number of staff, working in the USA. It is supposed that the management of Pivot will remain in business, including the CEO of the company Kevin Schenk.

The deal will be closed according to the set legislation, i.e. after court approval of Ontario, shareholder voting of Pivot and the statement of regulatory bodies. The special committee of independent directors recommended to council of Pivot to approve the transaction. The consulting company Raymond James reported to Board of Directors and special committee Pivot that at the conclusion of the transaction the reward earned by shareholders of Pivot will be fair from the financial point of view.^[1]

2019: Intel purchased from Pivot Technology Solutions business on development of Smart Edge

On October 15, 2019 Intel announced acquisition at Pivot Technology Solutions business on development of the platform for peripheral calculations of Smart Edge. The transaction worth $27 million is going to be closed in the fourth quarter.

According to the vice president of division of Intel Data Center Group and the head of department of Network Compute Dan Rodriguez, purchase of Pivot Technology will allow Intel to expand the opportunities regarding conversion 5G - networks thanks to the position in the market of peripheral calculations.

Intel announced acquisition at Pivot Technology Solutions business on development of the platform for peripheral calculations of Smart Edge

We are fully going to use advantages of our integrated technologies and commands to accelerate market development of peripheral calculations, having created at the same time the attractive solution for clients — he said.

The companies and telecom operators use the Smart Edge platform for start of cloud services in the environment most of which close is to the client. For example, these services can work in data center of the customer or at so-called network edge which can be in production workshop, etc.

Main advantage of the services working at the periphery is the reduced data processing delay that in turn increases efficiency. Besides, in case of retailers, for example, it will allow them to offer in shops of function, depending on location of the user, says Intel.

According to Reuters, the Smart Edge platform Pivot Technology did not generate big revenue and was an unprofitable product (losses of the company from it made about $1 million according to the results of the first half of 2019). In the middle of October, 2019 market capitalization of Pivot Technology makes about $43 million^[2]

Notes