MARKHAM,ONTARIO- March 31, 2021- Sangoma Technologies Corporation (“Sangoma”) (TSXV: STC), a trusted leader in delivering cloud-based Communications-as-a-Service (“CaaS”) solutions, announced that it has completed its previously reported acquisition of all of the shares of StarBlue Inc. (the parent company of Star2Star Communications, LLC, (“Star2Star”)) from Star2Star Holdings, LLC and Blue Face Holdings Limited.
“Customers today are demanding an integrated buying experience for all their communications needs and the combination of Sangoma and Star2Star will satisfy that need with the broadest set of cloud-native CaaS and related solutions in the industry,” said Bill Wignall, President and CEO of Sangoma. “This transaction ensures we can meet any customer’s preference, be it for purely cloud solutions, on-premise deployments, or a hybrid combination, all the way from small businesses to large enterprises. For many years, we have consciously pursued a strategy to transform Sangoma from a product business to one of the communications industry’s leading SaaS companies. This deal is incredibly exciting not only because it will generate scale in a growing, consolidating space, but also because by combining with Star2Star we will have completed our long-term evolution into a leading cloud services company, one with annual revenue approaching $250 million.”
Star2Star, based in Sarasota, Florida, is a privately-held leading provider of full-spectrum, internally developed, cloud-native communications services delivered via a high availability, multi-tenant platform. Star2Star targets the highest value market segments in business communications, including mid-market and enterprise size customers, through solutions that enable digital transformation. Star2Star's offerings include a comprehensive suite of voice, contact center, collaboration, integration, video meetings, Communications Platform as a Service (CPaaS), and Desktop as a Service solutions that work on any device from PC's to desk phones to mobile softphones, all accessible from anywhere.
“We are thrilled to combine forces with Sangoma because we have so many complementary strengths,” said Norman Worthington, founder and CEO at Star2Star. I’ve come to genuinely appreciate Bill’s vision for our combined companies in how we share a view on how to profitably grow in this exciting market, a viewpoint that’s unique in our industry. Sangoma was the perfect fit for us because they identified and appreciated our talented team, loyal customers and unique go to market approach."
Star2Star has a differentiated channel approach, employing over 650 active partners across multiple types of channels, from resellers and interconnects, to managed services providers and enterprise technology partners to wholesale and white label distributors.
Q Advisors, a global TMT investment banking boutique, represented Star2Star in connection with this transaction.
Read the full announcement of the completed transaction here.
Read the full announcement of the definitive agreement here.
Q Advisors has been a trusted advisor for years and their team’s knowledge of the cloud communications space is exceptional. They worked closely with my team to understand Star2Star’s unique attributes and were hands-on every step of the way. The Q Advisors team has a great blend of operational experience and financial expertise which were critical to positioning Star2Star’s differentiated platform and strategy. The Q Advisors team managed our process with a high degree of professionalism and leveraged their longstanding senior-level industry relationships to identify several compelling options. Our stakeholders are thrilled with the outcome and believe the combination of Star2Star and Sangoma creates a formidable global player well positioned for continued growth. Q Advisors has been a great partner and I look forward to continuing to work with them in the future.Norman Worthington, Founder, Executive Chairman, and CEO - Star2Star