This article was originally posted on Providence Business News.
EXETER – A Massachusetts-based cloud communications service provider has acquired information technology firm Carousel Industries of North America Inc. for an undisclosed sum, the companies announced Wednesday.
The purchase by NWN Corp. of Waltham, Mass., was finalized on May 7 with financial backing from New York private equity firm New State Capital Partners LLC. The combined entity will operate under the name NWN Carousel.
The company said that the deal is not expected to affect Carousel’s Rhode Island operations, which employs 211 people. The combined company employs 1,029 employees.
“Our intent is to build a national powerhouse brand that will transform expectations for today’s work-from-anywhere environment,” said Jim Sullivan, CEO and president of NWN. “Business communications are essential to productivity and collaboration. There is a tremendous need for service providers to help deliver better employee and customer experiences across commercial and public sector markets. The combined entity will give us unparalleled reach and resources to meet customer demand.”
Sullivan will continue to serve as CEO and president of the combined company, which is expected to have a $1 billion run-rate revenue in 2021.
Carousel Industries CEO and founder Jeff Gardner will remain on the NWN board of directors and will work on special projects and integrations with company leadership.
“This acquisition represents an incredible opportunity for Carousel employees, customers, and partners alike,” Gardner said in a statement. “We share an innate passion for propelling our customers’ journey to the cloud – driving adoption with speed and scale, providing ROI, and enriching their transformation journey. As much as 70% of our customer base is demanding integrated cloud services now, and this partnership will advance our ability to meet and exceed their needs from day one.”
Jim Marsh, chief revenue officer of Carousel Industries, will also be part of the leadership team of the combined entity.
“This chapter represents such an exciting moment in our journey; a meeting of two organizations that have a rich history of valuing clients and putting them first,” said Marsh. “Our success is a result of operating from a ‘customer success obsessed’ vantage point, and now we will continue to propel our clients forward with the same mindset, but with greater scale and deeper resources. This acquisition is a great testament to years of diligent work and thoughtful execution from the Carousel family. We are very proud to enter this next chapter together.”
Carousel was founded in 1992 and ranked as the 11th largest private company in Rhode Island by revenue, according to Providence Business News’ 2021 Book of Lists. The Exeter-based company reported $560 million in revenue in 2019.