PMGC Technology inherits 54,000 connections and £10 million revenue stream to become UK’s second largest independent mobile dealer
Newly created company PMGC Technology has acquired Vodafone platinum partners Premier Mobile and Phonebox Communications for an undisclosed sum.
PMGC was formed by Premier Mobile managing director Jason Yeomans (pictured) on March 2 through “internal funding.” He will retain his current position.
The acquisition of Solihull-based Phonebox was completed shortly after, with MD Nigel Harrison exiting the industry after more than 18 years.
Yeomans, who holds a 30 per cent stake in Premier Mobile, acquired the remaining 70 per cent from director Alan O’Brien as part of a management buyout. O’Brien now exits the industry.
It is the first time two Vodafone platinum partners have been bought together.
PMGC Technology becomes the UK’s second largest mobile dealer with a customer base of more than 54,000 connections, of which around 43,000 are on Vodafone, and combined annual revenues in excess of £10 million.
Rival platinum partner Premier Telecom is the biggest, with a customer base thought to exceed 90,000 connections.
Yeomans said: “Phonebox was a business we very rarely came across when we were out selling so we know they have different customers and a different market focus to what we had. Therefore it is a business that complements us greatly.
“Growing the business organically and moving us from a pure play mobile provider to a telecoms and IT fully managed service provider is now our sole focus. Further acquisitions are being considered, and we are in discussions with a number of strategic IT partners.
“The acquisition of Phonebox provides us with the perfect launch pad, increased critical mass, capability and expertise, to enable some ambitious longer-term strategic aims that include IP voice, IT hosting and Cloud computing.
“Ultimately, it’s about being able to offer our customers unparalleled service, but at the same time introducing new innovative technologies and solutions to enable customers to fuel their continued growth.”
Harrison, who said his interest in the industry was “waning”, said he will invest the funds into his commercial and residential property business.
Harrison said: “I made it clear I wasn’t particularly interested in going ahead with the merger and was more interested in exiting the industry.
“I have been doing the same thing for a long time and a little bit of boredom had crept in. It was time for me to let go and give it to someone who could take the business from where it is today to where it could be in the future.”
Premier’s base is focused predominantly on the public and corporate sectors whereas Phonebox has more of a focus on the SME and SoHo markets.
All customers acquired from Phonebox are connected to Vodafone through its platinum partner status. Premier’s airtime relationship with Orange remains unaffected.
Premier Mobile retains its offices in central London, Altrincham in Manchester and Sunderland in the north-east of England.
Premier’s Leamington Spa office was shut last week, with all four staff relocated to Phonebox’s office in nearby Hampton In Arden in Solihull, West Midlands. All 61 staff combined – 35 from Premier and 26 from Phonebox – remain unaffected by the acquisition.
Shez Cheema has also joined PMGC as finance director, having held the same position at unified communications provider Azzurri Communications between 2001 and 2009, where he was involved in the acquisition of 16 companies.