Manchester IT and telecoms specialist Novem has acquired Intalect, a managed IT services provider based in Hinckley, Leicestershire, in a deal the buyer says “has added significant scale to our Midlands credentials”. The acquisition is the fifth made by Novem since it completed its first purchase in 2023 alongside private equity firm Independence Capital and UK private credit investor TDC.
Acquisition strengthens Midlands footprint
Intalect was founded in 2004 and offers managed IT services including cybersecurity, disaster recovery and voice-over-internet protocol (VoIP). Its co-founder and director, Richard Hamilton, said the company was built around providing “enterprise-level IT and support to UK SMEs” and that Novem shares that mindset. “Becoming part of the group gives our customers access to an enhanced range of services without losing the quality or care they value. It’s a strong platform for the next phase of growth,” he added.
Alex Heslip, Novem’s chief executive, said the acquisition brings “valuable additional skills and strong customer relationships”. He also confirmed that Novem is planning to open a new “Hub” office in Coventry, where staff will collaborate and deliver services from a dedicated Midlands base. “We’re very excited about the opening,” Heslip said.
Buy‑and‑build strategy
Novem is led by Heslip and Chris Earle and focuses on serving small and medium‑sized enterprises (SMEs) across the UK. The company’s growth model combines organic expansion with targeted acquisitions, a so‑called “buy‑and‑build” approach that aims to strengthen regional service delivery and create long‑term value for clients. As part of this strategy, acquired businesses are integrated onto Novem’s own systems and rebranded under the single Novem banner, simplifying management and operations.
Novem now employs more than 75 people across several UK locations, with existing offices in Colwyn Bay, Cheadle and Knowle. The planned Coventry hub will add a further Midlands presence, complementing the Intalect acquisition. The company completed its first acquisition in 2023 with backing from Independence Capital and TDC, which have remained partners throughout its subsequent deals.
The wider market context supports the rationale behind the strategy. The UK managed IT services market was valued at approximately £15.35 billion in 2023 and is projected to grow to £28.29 billion by 2032, a compound annual growth rate of 7.03%. Cybersecurity in particular is a pressing concern for SMEs: 61% of UK small and medium businesses view it as their biggest challenge, and the UK cybersecurity market is expected to expand at a CAGR of 11.35% between 2025 and 2035. Services such as disaster‑recovery‑as‑a‑service (DRaaS) and VoIP are also experiencing rapid growth, driven by cloud adoption, remote working and the ongoing migration from traditional landlines, which is due to be completed by January 2027.
Investor backing
Jon Petty, investment director at TDC, said the acquisition is exactly what the firm’s Impact Fund was designed to support. “Since first supporting Alex and the team in 2023, Novem has continued to build on the growing demand for managed IT services, expanding its national platform all from a Manchester headquarters. This is exactly what we set out to do with our Impact Fund, providing the capital needed for Northern businesses to scale at pace, all while accelerating local opportunity.”
Independence Capital, a private equity investor, has also backed Novem from the outset, providing the financial foundation for its acquisition‑led growth. Together, the two investors have enabled Novem to pursue a strategy that targets both organic gains and acquisitions that add geographic reach and service depth. The Intalect deal is the latest in a series that has taken the company from a single acquisition in 2023 to a five‑acquisition record over three years, with a team now spanning multiple regions and offices.
