BOSTON–(BUSINESS WIRE) – Iron Mountain Incorporated (NYSE: IRM), the world’s leading provider of innovative storage and information management services, today signed an agreement to sell its Intellectual Property Management (IPM) business to the NCC Group (“NCC”) publicly traded software trust – and cyber security company based in the UK. All IPM-related assets are being sold to NCC for gross proceeds of $ 220 million or approximately $ 165 million net of taxes and fees, subject to adjustments.
The divestment of the IPM business is in line with Iron Mountain’s strategy of focusing on its core strengths and investing in innovative new products, services and solutions to better position the company for future growth.
“The transaction is in line with our capital allocation strategy. It will provide another source of capital to fund our strategic growth areas, including our data center development pipeline, ”said Barry A. Hytinen, executive vice president and chief financial officer of Iron Mountain.
For the fiscal year ended December 31, 2020, IPM generated revenue and Adjusted EBITDA of approximately $ 33 million and $ 22 million, respectively. The transaction is expected to close in early June 2021, subject to customary closing conditions, including approval by NCC shareholders.
About Iron Mountain
Iron Mountain Incorporated (NYSE: IRM) is the world’s leading provider of innovative storage and information management services that store and protect billions of valuable assets, including critical business information, highly sensitive data, and cultural and historical artifacts. Iron Mountain was founded in 1951 and is trusted by more than 225,000 customers worldwide. It helps CLIMB HIGHER ™ clients to transform their business. Through a range of services including digital transformation, data centers, secure record storage, information management, secure destruction, and the storage and logistics of works of art, Iron Mountain helps companies shed light on their dark data so customers can get value and intelligence from their stored digital data and can release physical assets quickly and safely while helping to achieve their environmental goals.
To learn more about Iron Mountain, please visit: www.IronMountain.com and follow @IronMountain on Twitter and LinkedIn
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws and is subject to the safe harbor created by this Act. Forward-looking statements include, but are not limited to, the expected completion of the transaction. These forward-looking statements are subject to various known and unknown risks, uncertainties and other factors. When Iron Mountain uses words such as “believes,” “expects,” “anticipates,” “estimates” or similar expressions, it makes forward-looking statements. Although Iron Mountain believes its forward-looking statements are based on reasonable assumptions, Iron Mountain may not achieve expected results and actual results could differ materially from its expectations. Important factors that could cause actual results to differ from Iron Mountain’s expectations include, but are not limited to, Iron Mountain’s ability to complete the proposed Transaction in accordance with the Terms, the risk that the conditions will not close the Transaction in a timely manner basis or at all and risks that we may not be able to achieve through the joint venture are able to meet expectations for the business and value based on operational challenges, risks in the market or ours expected personal responsibility or control. Other risks are described in more detail in our filings with the Securities and Exchange Commission, including the heading “Risk Factors” in or included in our periodic reports. You should not rely on forward-looking statements except as statements about Iron Mountain’s current intentions and current expectations, which may or may not occur. Except as required by law, Iron Mountain has no obligation to publicly announce the result of any revision of these forward-looking statements that may reflect events or circumstances after the date of this document or the occurrence of unexpected events.