Despite losses up at 884,000 pounds, from 130,000 pounds last time (CI No 3,105), UK Internet service provider Easynet Plc has just bought networking products and service provider Technocom Plc for 1.5m pounds in cash and 165,000 pounds in new Easynet ordinary shares. It will also pay a deferred consideration of 380,000 pounds if Technocom posts pre-tax profits exceeding 140,000 pounds by June 30, or less for a lower profit. According to Easynet chairman and chief executive David Rowe, the acquisition will bring them local network integration skills and a customer base which, he says, will help its drive to become market leader for integrated corporate Internet offerings in the UK and France. Technocom, whose assets include 500,000 pounds cash, supplies hardware, software and maintenance services as well as internet access web hosting and turnkey local network-to- Internet integration products to corporates. Exactly a year ago, Technocom sold its network software business to Cambridge Massachusetts-based On Technology Corp for $1.8m cash (CI No 2,877).
