Three cloud firms have today announced that they have combined to form Kerv, in a £30m merger designed to challenge in cloud-centric managed services.

The merger sees three UK-based cloud companies, DoubleEdge Professional Services, Metaphor IT and Foehn, come together to form Kerv, with private equity house LDC providing funding.

The merger has been overseen by Six Degrees Group founder and former CEO Alastair Mills, who takes the role of executive chairman at Kerv, and former Six Degrees COO Mike Ing, who is becoming managing director.

It combines the complimentary specialties and double-digit growth rates of the respective companies to provide a host of managed, cloud-based services to companies across unified communications (UC), converged IT, contact centres, compliance and security.

DoubleEdge brings expertise in compliance, mobility, voice, data and UC, while Metaphor IT provides expertise in managed IT services, digital workspaces and cloud services. Foehn will provide research and development, contact centre and cloud UC expertise.

The merger sees Kerv launch with around £20m in revenues and a team of 100 across several offices in London, UK and Vigo, Spain.

Kerv merger to support digitisation amid shift to the cloud

Kerv is particularly targeting companies looking to expand their digitisation, spurred on by the rise in remote working that the coronavirus pandemic has prompted.

“Since we sketched out our customer experience-focussed investment plan towards the end of 2019, we’ve seen a dramatic shift to cloud-based remote working at an unprecedented scale,” said Mike Ing, managing director of Kerv.

“With the increasing availability of rapidly innovating cloud based applications, IT managed service providers should no longer need to be asset heavy, or rely on long term infrastructure investments, their job will be to integrate best-of-breed capabilities to deliver solutions for their customers.”

The company’s focus on customer experience (CX) is central to its proposition, and is seen as vital to attracting business.

“Customers want to buy a wider range of integrated solutions from a trusted partner whilst leveraging the power of cloud technologies,” said Alastair Mills, executive chairman of Kerv.

“But they will only do so if those providers can continue to deliver excellent customer experience in this rapidly changing market. As we focus on organic growth, supplemented by carefully targeted acquisitions, we will not lose sight of our customer-first strategy.”

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The company also plans to make additional acquisitions, supported by further LDC funding, to broaden its capabilities.

“Our goal is not to chase short-term profit gains through aggressive cost cutting as we acquire complementary businesses,” added Mills.

“Instead, with the support of LDC, we plan to invest in great companies and accelerate organic growth through a relentless focus on CX.  In a technology market that continues to consolidate rapidly through M&A, we feel that now is the right time for a change in focus and culture.”


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