NaviSite Sells Applications Services Unit
Managed hosting provider NaviSite (www.navisite.com) said Monday it has sold its Lawson / Kronos business applications Velocity Technology Services Solutions (www.velocityus.com) for $ 56 million in cash.
The acquisition speed makes the largest provider and market leader Lawson-hosted solutions in North America, according to the press release.
The announcement comes after NaviSite revealed plans last month to sell its placement and some of the data centers in support of that division.
As part of the operation, all current NaviSite Lawson / Kronos customers will be transferred to the speed.
The speed also assume lease NaviSite data centers in Minneapolis, where services are hosted, managed and supported.
“The sale of our Lawson / Kronos business is consistent with our strategy to focus on providing cloud computing business class for large organizations with complex environments,” said Arthur Becker, CEO of NaviSite. “Our goal has always been to provide the highest level of service, superior application expertise, and technology for our customers unprecedented. By selling our Lawson / Kronos practice, we will be able to focus on our company the key business applications and accelerate progress in our series of NaviCloud of solutions. ”
Becker said that the proceeds from the sale will go towards debt reduction and NaviSite will provide the company with “greater flexibility in the balance in the future.”
Lawson’s acquisition of / Kronos applications services business comes to the speed of a talented group of professionals, innovative solutions and advanced technologies based on the cloud to the market for business software, said Tom Bruno, President and CEO of Velocity.
Speed provides enterprise customers with hosting services and managed services, including services for hardware, operating systems and database services, backup and tape rentention, continuity and disaster recovery.