SCOTTISH cloud computing specialist Iomart has bought London consultancy SystemsUp in a deal that could be worth more than £12 million, writes Ian McConnell.

Iomart said t had paid £9m cash as an initial consideration for the entire issued share capital of SystemsUp.

It added that a further contingent consideration for the London consultancy was due in respect of revenues, on an adjusted basis, for the year to March 2016.

Iomart added that it had been estimated that this contingent payment could be in the region of £1m to £3.5m.

The Scottish company noted that SystemsUp specialised in the delivery of IT transformation using "public cloud" arrangements.

Angus MacSween, chief executive of Iomart, said: "The market for cloud computing is becoming incredibly complex and the demand for public cloud services is increasing at pace. With the acquisition of SystemsUp, iomart has broadened its ability to engage at a strategic level and act as a trusted advisor on cloud strategy to organisations wanting to create the right blend of cloud services, both public and private, to fit their requirements."