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VIP Group acquires IT supplier Ergo Computing UK


Posted on 22 January 2014

Ergo Computing UK Limited, a market leader in providing IT hardware solutions and infrastructure support to public sector organisations, are pleased to announce the sale of a majority stake of their shares to VIP Computer Centre Ltd based in Warrington, who are a broad range distributor of IT components and a major manufacturer of IT Hardware.

VIP Group consists of seven companies based around the globe. The Group’s headquarters, manufacturing and distribution centre are based in Warrington. There is also a second distribution centre in Breda, Holland. The Group companies have additional offices in the UK, The Netherlands, USA and Spain. VIP Group turnover in 2012/2013 was $330 million and currently employs 250 staff.  

Ergo Computing UK will continue to trade as an independent company within VIP Group and develop the Ergo brand, supported by existing and new personnel. The company and the 55 staff they currently employ will continue to operate from its current site in Nottingham; and will be supported with VIP Group’s warehousing facility based in Warrington.

Current Managing Director Neil Bellamy will continue in his position with a holding stake within the business and will play a pivotal role in developing it going forward. “This is an exciting time for Ergo Computing and being part of a larger Group will ensure we can build on our success in IT products and services within the public sector. This new relationship and support will drive growth over the years to come”, commented Bellamy.

This new relationship significantly strengthens Ergo’s ability to service its existing contract commitments, and the in-depth volume supply capabilities they require. Ergo is a broad based Original Equipment Manufacturer and experienced provider of full-scale ICT Solutions, including state-of-the-art tablets, ruggedised laptops and All-in-One PCs, to public sector organisations. These innovative solutions will be showcased on Ergo’s stand at the Bett show, the largest learning technology event in the world, between the 22nd and 25th January 2014 at the London Excel Arena.

Also commenting on the acquisition, VIP Group Chairman Jatti Sahni said, “We have been looking to diversify into this market sector for some time and we see many synergies and spin-off benefits by working in partnership with Ergo.  We also believe that VIP Group will produce a stronger and more competitive Ergo.  This acquisition represents a further significant investment by VIP Group and demonstrates our on-going commitment to future growth”.

Ergo Computing’s shareholders were advised by Chris Taylor of Smith Cooper, Nottingham with legal advice from Patrick Billyeald and Andrew Needham of Shakespeares.

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