San Antonio-based Sirius Computer Solutions has been acquired for $2.5 billion in cash by CDW Corp., an Illinois-based Fortune 500 company.
The deal is the second significant acquisition of a San Antonio tech company this month. Earlier in October, San Antonio email technology company Pathwire was acquired by an out-of-state firm for $1.9 billion.
Sirius, founded in 1980 by Harvey Najim as Star Data Systems, is “one of the largest and most well-regarded IT solutions integrators in North America,” CDW President and CEO Christine Leahy said in a call with investors. She said the acquisition of Sirius “accelerates our services and solutions capabilities” and would help to scale and balance CDW’s customer portfolio.
Sirius provides information technology support, consultation, and management for approximately 3,900 large and mid-sized customers across the country. It specialties includes digital infrastructure, cybersecurity, and cloud systems. Its offices are in North San Antonio, right next to San Antonio International Airport.
Sirius employs over 2,600 individuals in the United States, Canada, and India. It generated $2.04 billion in net sales in 2020, according to CDW.
The company has grown rapidly in recent years. Annual revenue generated by the company grew from $817 million in 2010 to $3 billion in 2018, according to its website.
The company has long been an important partner for IBM, for which the legacy computer giant has given it many awards of recognition. In recent years it has added to its list of partners Dell, Citrix, Cisco, Adobe, Amazon Web Services, and more.
CDW provides technology products and solutions to businesses, governments, education, and health care customers in the United States. It employs over 10,500 people across the country, and in its fiscal year ending in June generated net sales of approximately $20 billion.
CDW bought Sirius from Clayton, Dubilier & Rice, a private equity firm that invested in the company in 2019. The transaction is expected to close in December.
Sirius President and CEO Joe Mertens said in a prepared statement that the company welcomes “the opportunity to bring our complementary services and solutions capabilities to serve a broader market of customers as a combined company.”
Najim has remained chairman emeritus of the company, which he renamed from Star Data Systems in 1993 as it began expanding with offices in Chicago and Dallas. He retired in 2011 to concentrate on philanthropic efforts and Mertens became CEO.