Irish communications company Blueface in merger with Star2Star
Irish communications company Blueface has merged with Star2Star, a US-based hybrid cloud communications company.
The combined entity is set to be worth $500m.
The merger means that the combined entity, StarBlue, will become a top five global provider in the growing unified communications market.
The operating companies will retain their existing trading names in their respective markets, Star2Star in the US and Blueface in EMEA, with a combined global workforce in excess of 500 people.
Describing the merger as a “game changing event” in the unified communications as a service (UCaaS) landscape, Alan Foy, Group CEO, Star2Star and Blueface, said that it “combines the best of proprietary UCaaS technology with an expansive geographic distribution, capability and reach.”
“It positions the combined Blueface/Star2Star company as one of the leading platform and service providers that can service businesses of all sizes, partners and wholesale customers globally,” Mr Foy said.
“In the not too distant future, we shall bring further enhanced innovation-led offerings across a full spectrum of products to our partners and customers and to the wider market which leverages the best of both companies’ capabilities and talent,” he continued.
Under the merged entity Norman Worthington, CEO of Star2Star, is set to become executive chairman of Star2Star and Blueface, while Mr Foy will become CEO of Star2Star and group CEO of StarBlue.
Sarasota, Florida will remain the North American headquarters for Star2Star, while Dublin will remain as the EMEA headquarters for Blueface.
Founded in 2004, Blueface’s proprietary cloud voice unified communications platform services business customers of all sizes ranging from small and medium enterprises through to larger multi-nations.
The company has developed its own platform and has heavily invested in research and development to develop the functionality, services and business model in order to perfect a scalable and transferable model to bring the unified communications as a service platform to other markets.
In March last year the BDO Development Capital Fund announced a €10m investment in Blueface to accelerate its international expansion plans and, following the merger, the fund has now exited the business.
Commenting on the merger, Andrew Bourg, head of investments of the BDO Development Capital Fund said that the fund was “delighted” to support Blueface’s goal of becoming a significant international player in its chosen market segments.
“It is really satisfying to see this further significant and international development by an Irish company,” Mr Bourg said.
Blueface has previously received support from Enterprise Ireland, with the agency providing Blueface with €1m to invest in research and development in 2011.