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Telecoms firm 'reaps benefits' of acquisition

Daisy Group has said an acquisition that helped diversify the business is ensuring better financial results.

28 November 2012

Telecommunications company Daisy Group has said making the acquisition of broadband and telecom solutions firm Worldwide Group Holdings has enabled it to successfully steer through a difficult trading period.

In its interim financial statement to the Stock Exchange, Daisy chief executive Matthew Riley said that while "traditional revenue streams" have been depressed, the "growing area" of the market represented by Worldwide Holdings has helped to "mitigate" this.

He continued: "The business has achieved an encouraging level of annualised revenue growth so far and the change of ownership has been welcomed by key customers."

Overall, company earnings were up 2.6 per cent on a year earlier.

Companies who would benefit from taking over firms who can add crucial new elements to their business may find the services of merger and acquisition consultants invaluable in helping to seal a deal that safeguards their future.

Examples of this may include that of Starbucks, which has traditionally provided coffee products but is now moving into the luxury tea market with the recent acquisition of Teavana.

Starbucks chief executive Howard Schultz said the sector is "ripe for reinvention and rapid growth".

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