Storing and protecting company data is an important function for those who run businesses of all types and sizes. Of course, new technology has drastically changed the ways companies choose to handle important data over the last several years. And now, the data landscape is changing once more, particularly for small and medium sized businesses.
Imation has traditionally targeted larger businesses and enterprise clients with its scalable storage products and solutions. Nexsan, on the other hand, offers solutions that can target smaller companies such as cloud solutions.
President and CEO of Imation Mark Lucas said in a statement:
“Our strategy includes focusing on the underserved SMB market with purpose-built storage systems and appliances. This is a market that Nexsan knows well.”
With this acquisition, Imation hopes to accelerate its growth in the small business market. It’s not yet clear how this will specifically change the solutions offered by Imation and/or Nexsan in the coming months or years. But the move is expected to widen Imation’s offerings, particularly pertaining to disk-based and flash storage-based technology.
Nexsan currently has more than 11,000 business customers worldwide, with its technology platform and disk and solid-state storage solutions. The company was founded in 1999 and also has a wide base of partners that help distribute its products and solutions to targeted businesses.
The acquisition price included $105 million in cash and about $15 million in stock. The deal is expected to be completed during the first quarter.
Nexsan’s 200 employees, who are based in the U.S., U.K., and Canada have joined Imation, and Nexsan will continue to operate from the company’s current headquarters in Thousand Oaks, California.