Beeks Signs Millionaire Deals for Cloud Infrastructure and Open Banking

Beeks signs millionaire deals for cloud infrastructure and open banking and for the financial markets has secured two significant contracts. The Glasgow-based cloud computing and connectivity provider for the financial markets has secured two significant contracts, signing a $1 million annualized contract with a global financial markets technology provider and a £1.1 million contract over three years with a cloud-based payments solution provider.

With its first $1m annualized contract with a global financial markets technology provider, which will commence in January 2020, Beeks will provide global deployment of private cloud infrastructure, while being the preferred cloud vendor for on-demand infrastructure provision globally, to complement the customer’s existing secure, high-performance data and voice communications solutions delivered to the global financial markets. The SaaS-based contract is expected to grow to a run rate of $1 million annually, with the potential for further expansion thereafter. The £1.1 million deal with the open banking and payment solutions provider is the first win for Beeks in the growing Open Banking and Payments sector and implementation is due to be completed in the first half of calendar year 2020. This proves Beeks’ offering and applicability to this new segment of the financial markets as new regulations, such as the second Payment Services Directive (PSD2) and the Open Banking reforms, drive a shift towards new Open Banking and Payments offerings within Financial Services and the growing adoption of cloud-computing to deliver them.

Over the three-year contract, Beeks will design and supply a private network and fully managed infrastructure environment, enabling the Payments Provider to expand its secure and resilient end-to-end Payments-as-a-Service solution for financial institutions and regulated Fintech organizations. Being ideally placed to support Financial Services institutions in this move to cloud-based infrastructure, Beeks sees this contract as an opportunity to build from here and grow further in the Open Banking sector.

Gordon McArthur, Chief Executive Officer of Beeks Financial Cloud, commented: “We are delighted to be able to announce two such significant new customers. Our selection as a preferred vendor for one of the largest technology providers for financial markets globally represents our largest initial customer deployment to date and provides Beeks with a significant growth opportunity. The scalability of our network means that we are ideally placed to provide substantial cloud infrastructure setup across our locations internationally. We are also delighted to have been selected to support the expansion of this innovator in the Payments sector. Regulation is driving the use of new technology, with the demand for increased level of security and expanding data volumes requiring banks and payments institutions to assess more flexible and secure cloud-based infrastructures over traditional IT architectures. Our global network and proven expertise mean Beeks is well-positioned to benefit from the expected growth in Open Banking and Payment applications and we look forward to expanding this customer segment in the future.”

In May 2019, Beeks announced the asset acquisition of Commercial Network Services, a US-based online service provider specialized in hosting low latency algorithmic trading systems, virtual private networks, and streaming media from data centers in London, New York, and Los Angeles. The deal was in line with the growth strategy drawn ever since the 2017 IPO, combining organical growth with tactical and strategic acquisitions. At the time, Beeks was valued at £24.5 million as it aimed to raise £7 million from several institutional investors such as Hargreave Hale, Octopus, and Livingbridge.

In September, the Glasgow-based firm became a Gold Partner of global interconnection and datacentre provider, Equinix, after working together since Beeks’ inception in 2011. Beeks is now present in ten of Equinix’s datacentres around the world, serving the US, Asia, and EMEA markets. In 2011, however, Beeks was only taking space in the Equinix’s NY4 International Business Exchange data center located in the New York City metro.