2e2 completes Morse acquisition

The company says annual revenue will increase to £414m

The Morse brand will be phased out gradually

IT services provider 2e2 has completed its £69.8m acquisition of London-based services rival Morse.

The deal will double the company’s size in terms of revenue and staff to £414m and 600 respectively.

2e2 chief executive Terry Burt said: “There will be a period of education and joint running until the end of 2010 and there will be rather more formal integration next year."

The newly merged company will be called 2e2, with the Morse brand being phased out slowly.

The company has said that its aim is to become a significant player in the mid market, where it will be able to offer technology and services across the lifecycle.

“We’ll be looking to take advantage of better purchasing power as a result of our increased size,” said Burt.

The company said it didn’t expect significant redundancies.