Dimension Data Learning Solutions (DDLS), the IT training subsidiary of the London-listed global network services and i-Commerce solutions provider, Dimension Data Holdings plc (Dimension Data or the `Group`), has acquired Denver-based Colorado Computer Training Institute (CCTI) for US $11m.
Established in 1991, CCTI is a US leader in the delivery of certified Cisco, Information Security and Project Management curriculum. CCTI`s development group produces quality customised courseware and distance learning solutions for the corporate arena.
The company is headquartered in Denver and operates in 25 major cities including Boston, Phoenix, Kansas City, San Jose, Minneapolis, Chicago, Washington DC, and Philadelphia. Among CCTI`s corporate clients are KPMG, AT&T, Lucent, Worldcom, Qwest, Level Three Communications, Boeing and Time Warner.
CCTI with 12 month revenues to December 2000 of US$ 11m has grown at a compound annual growth rate of 25% over the last five years.
Dimension Data Learning Solutions focuses on training and development in the Internet, data networking, software development and management arenas with operations in Asia, Australia, Europe, South Africa and now the US. DDLS provides internationally certified, tailored courses that are designed to deliver high-end solutions and value. In addition DDLS offers services designed to assist individuals and corporate clients to select the correct training to meet clearly defined needs.
The acquisition, effective 1 June 2001 will be settled with a 60% up front cash payment. The balance is to be settled in a combination of cash and shares over the next 16 months depending on performance.
Dimension Data Learning Solutions MD Marilyn Chaplin says that DDLS acquired CCTI to grow the DDLS business globally and provide support to system integrators in the US, enabling the Group to offer customers a complete solution.
"CCTI`s training focus on networking solutions including Cisco, security and project management complements DDLS`s existing operations in Europe, South Africa, Asia and Australia. CCTI`s wide footprint in the US and existing infrastructure establishes DDLS as a true global player," explains Chaplin.
"According to IDC, there was a shortage of some 660 000 networking professionals in 2000. This number is expected to grow threefold by 2004. IDC also estimates that in 2000, one of out every three networking job openings was not filled.
"In addition, IDC states that whether the US economy continues to slow or not, both it and the global economy will continue to suffer IT labour shortages," says Chaplin.
Jon Carmain, CEO of CCTI says the company was looking to expand and become a global player.
"We were impressed with Dimension Data`s global presence and skills set. By becoming part of the Dimension Data Group, we will realise our objective of growing the company internationally," he says.
Carmain and CCTI`s top management have signed contracts of between 18 months and three years to remain with the Dimension Data Group.
Bill Strang, CEO Dimension Data Network Services US says that in line with the Group`s focus on people, processes and technology, the acquisition of CCTI will enable Dimension Data US to offer customers a more comprehensive service offering.
"In addition, Dimension Data Network Services US will utilise DDLS`s training facilities to enhance our own professional and technical skills - which, in turn, will translate into superior service for our customers," Strang concludes.
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