Telstra buys cloud consulting firm Versent for $267.5m

The news: Telco giant Telstra has agreed to buy cloud consulting company Versent to scale up its Telstra Purple technology services business.

The numbers: Telstra will buy Versent for $267.5 million. It said the Melbourne-based company reported net revenue of $130 million in FY23, with a 17% compound annual growth rate between FY20-23. Its team of more than 500 experts work with over 40% of the ASX 100 companies, offering both professional and managed services, and key partnerships with AWS, Microsoft and leading security and data vendors.

The context: The deal comes almost a month after Australia’s biggest telecommunications company confirmed its interest in Versent, currently owned by founders, investors and employees. Telstra, which has been boosting investment in infrastructure through recent acquisitions, says the latest deal will support the company’s T25 growth strategy and bolster its international presence. The transaction is expected to be completed within the next six weeks.