Reliam acquires Stratalux as tech consulting M&A trend gathers pace
Reliam LLC and Stratalux – two leading Los Angeles-based cloud consulting firms – have merged to create a Southern California powerhouse offering more than 100 mid-market clients cloud transformation and strategy services.
Reliam’s acquisition of Stratalux was funded by an ongoing investment from Great Hill Partners – a Boston-based firm private equity firm that has committed $75 million to Reliam’s future. Stratalux’s strong customer referrals and deep technical expertise made the Managed Services Provider (MSP) a leading candidate for what is expected to be a continuing series of acquisitions by Reliam.
With 17 years of industry experience under its belt, Reliam is a trusted name in the AWS Managed Services space. The consulting firm recently installed Simon Anderson – who served as Entrepreneur-in-Residence with Great Hill Partners – as CEO. Flush with private equity funds, Anderson hopes to scale the company upwards, acquire smaller fish, and develop expertise in machine learning, AI and serverless computing.
Founded in 2010, Stratalux lacks the pedigree of Reliam but is no newcomer to a quickly evolving niche market. The firm helps its clients manage solutions built on Amazon Web Services, offering particular expertise in AWS and DevOps technologies. By joining forces, Reliam and Stratalux expect to offer clients in the media & entertainment, ecommerce, mobile games, and digital marketing industries improved costs, flexibility, and product development services.
“We have been impressed with Stratalux’s successes in the AWS cloud services ecosystem, and our teams are really excited to be joining forces,” said Anderson. “Our combined team and expert insights will enable our customers to rapidly leverage the latest innovations in cloud computing services, including serverless computing, artificial intelligence, and machine learning.”
“We’ve long viewed Reliam as a respected colleague that approaches cloud consulting and managed services with the same dedication and customer-centric viewpoint as we do,” commented Jeremy Przygode, CEO & Founder of Stratalux, on the merger. “We really look forward to combining our talents and capabilities, as we grow together to improve on the cloud-centric advantages we deliver for customers.”
The deal comes amid a flurry of M&A activity in the IT and MSP consulting space. RSM recently announced the acquisition of Explore Consulting – an Oracle NetSuite solutions provider. In April 2018 NTT Communications – a global IT consultancy and subsidiary of Japan’s largest telecommunications company – snapped up Michigan-based MSP consulting specialist Secure-24.
