Telco and IT service provider, Amcom Telecommunications, has purchased data centre provider, aCure Technology for $14.3 million.

aCure operates three data centres in the Perth metropolitan area, predominantly servicing corporate and government customers.

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The acquisition will take Amcom's number of data centres in Perth to seven, with a capacity of 650 racks connected to its fibre network.

Amcom CEO, Clive Stein, said the expanding demand for Cloud and hosted services was driving the requirement to expand its footprint.

"As an established business, aCure's datacentres enable us to quickly expand our capacity, rather than pursue a green field build strategy that is slower to market," he said. "With all seven data centres directly connected to our fibre data network, the opportunity to drive further revenues on the back of demand for Cloud services is substantial."

The acquisition is subject to satisfaction of a number of procedural conditions precedent and will settle in September. It will be funded from existing bank facilities, which has been increased and extended to December 2016.

After funding and integration costs, its expected to be earnings positive in FY15 contributing more than $3 million EBITDA.