The reseller, which is headed by industry veteran Ian Smith, earlier this year declared plans to build a £100m storage and managed service outfit (CRN, 19 February) and has since snapped up resellers Posetiv and Anix.
CRN understands that Alternative Investment Market (AIM)-listed Red Squared will be Xploite’s next conquest and that an agreement is close to being signed.
The VAR, which is backed by HSBC, is also close to announcing two further acquisitions, both of which are believed to be in the managed services sector.
Scott Fletcher, chief executive of reseller ANS, which recently took a four per cent stake in Red Squared (CRN Online 3 August), said: “I am not aware of anything that is happening [with Xploite] at this stage.”
Fletcher added that ANS “may or may not” make a full bid for the firm in the future.
Jason Rabbetts, managing director of VAR Union Solutions, said: “Buying Red Squared would make sense. Ian seems to be developing a strategy led by managed services and built on a foundation of systems integration, with IBM at the core.”
Red Squared posted a £64,000 pre-tax profit on turnover of £1.62m for the six months to March 31. The VAR said last month it expected full-year results to come in ahead of expectations.
Xploite and Red Squared refused to comment as CRN went to press.

Xploite offloads non-core arm