NCC, Manchester cyber firm, buys Iron Mountain’s IPM

Shares of Manchester-based cyber security company NCC Group rose as much as 16% on Thursday after it announced it agreed to acquire the Intellectual Property Management business (IPM) of Iron Mountain for £156 million in cash.

IPM is a software escrow platform in the United States.

For the 12 months ended December 31, 2020, IPM reported revenues of $32.9 million (£23.3 million), of which escrow services comprised 86% with verification services accounting for the remaining 14%.

In a share placing connected to the transaction, NCC Group said it sold 27.9 million new shares to existing and new investors at £2.60 per placing share, a 3.4% discount to the prevailing middle market price, raising gross proceeds of £72.6 million.

NCC Group CEO Adam Palser said: “This acquisition will transform NCC Group’s Software Resilience business, making it a market leader, and deliver immediate financial and operational benefits to the whole of the group.

“The IPM Business shares many similarities with our own Software Resilience business, including a commitment to providing exemplary service for clients.

“There are tremendous opportunities to grow the combined business by offering IPM’s blue-chip clients the choice of new services and support.

Following completion, NCC Group will be a stronger and broader business with an even greater ability to support clients in the ceaseless struggle against cyber-crime in all its forms.”

About the Author

Mark McSherry
Dalriada Media LLC sites are edited by veteran news journalist Mark McSherry, a former staff editor and reporter with Reuters, Bloomberg and major newspapers including the South China Morning Post, London's Sunday Times and The Scotsman. McSherry's journalism has also appeared in The Washington Post, The Guardian, The Independent, The New York Times, London's Evening Standard and Forbes. McSherry is also a professor of journalism and communication arts in universities and colleges in New York City. Scottish-born McSherry has an MBA from the University of Edinburgh and a Certificate in Global Affairs from New York University.