Liverpool digital marketing agency Velstar acquires Leeds-based firm in a deal that will almost double its workforce and take annual revenues to £10m. Tony McDonough reports
Liverpool digital marketing agency Velstar will almost double its headcount following the acquisition of a Leeds-based business.
Velstar has bought 9xb, an award-winning B2B ecommerce agency. The value of the transaction has not been disclosed but the deal will see Velstar employee numbers rise from more than 60 to around 120.
It adds that the enlarged business will have annual revenues of around £10m. Velstar declined to say what its current turnover is but in 2022 it said the figure was around £4m.
Founded in 2016, Velstar specialises in designing, building and optimising Shopify Plus stores for online retailers, as well as providing a range of digital marketing services.
9xb specialises in the development of complex and bespoke ecommerce services using its proprietary software platform Peracto. It was founded in 2004.
Dan Sheard, co-founder and chief executive of Velstar, said: “The acquisition of 9xb is a major step in Velstar’s continued journey of client centric growth.
“While Velstar has traditionally focused on the Shopify Plus website development and marketing services for direct-to-consumer brands, 9xb is truly complementary to Velstar through its main focus on B2B clients.
“Velstar will ensure a smooth transition for customers and colleagues, with a tireless focus on client satisfaction and exemplary service.”
In March 2022 Velstar relocated its team from Mann Island, close to Liverpool waterfront, to The Tempest in Tithebarn Street to accommodate its growth. Later the same year it acquired Chester-based marketing firm We Influence in a deal backed by River Capital.
Speaking after the latest deal, Rob Burns, co-founder and managing director of 9xb, added: “Our partnership with Velstar marks an exciting chapter in our journey of growth, diversification, and innovation.
“It aligns seamlessly with our commitment to delivering exceptional value to our clients. We are thrilled to complement our service offerings with the additional resources, capabilities, and scale of the Velstar.”