Imation Corporation this week announced the acquisition of privately held Nexsan Corporation in a deal valued at $120 million. The deal includes a cash payment of $105 million and $15 million worth of Imation common shares.
As part of the deal, approximately 200 Nexsan employees in the U.S., U.K. and Canada are joining Imation. The full details on how Nexsan will be integrated into Imation will be determined during the first quarter of 2013.
By acquiring Nexsan, Imation adds a roster of 11,000 customers and a business that generated $82 million in revenue during 2011.
“Imation’s acquisition of Nexsan is an exciting next step in our strategic transformation, which includes investing in growth platforms in data storage and security solutions, where we are targeting markets with strong growth rates,” said Mark Lucas, president and CEO of Imation in a statement.
Lucas added that Imation strategy in 2013 includes focusing on the SMB market, which is where the Nexsan technology will fit in.