ePlus Snaps Up Daymark To Supercharge Microsoft Cloud Push In The Northeast
ePlusAcquirer
ePlus has completed its acquisition of Daymark Solutions, with financial terms undisclosed, to broaden Microsoft cloud, data‑center and cybersecurity capabilities in the Northeast.
ePlus has completed the acquisition of Daymark Solutions, with the deal terms undisclosed, marking the latest step in the publicly listed IT solutions provider’s strategy to deepen its Microsoft cloud footprint in the Northeast. The transaction, closed on August 25, 2026, brings Daymark’s expertise in Microsoft 365, Microsoft Copilot, data‑center infrastructure and cybersecurity under the ePlus umbrella.
Deal Terms
The purchase price was not disclosed, and ePlus declined to comment on the number of employees transferred. All of Daymark’s staff, including co‑owners President and CEO Timothy Donovan and COO/General Manager Brian Casey, will join ePlus. The acquirer plans to retain the Daymark brand temporarily to preserve existing goodwill before transitioning customers to the ePlus name.
Strategic Rationale
Senior Vice President Kley Parkhurst explained that Daymark holds higher credentials in Microsoft’s CSP program than ePlus, a gap that will accelerate ePlus’s scale across its enterprise customers. "Daymark has some credentials in Microsoft’s CSP program that are actually higher than ours, so it should help accelerate that as we scale that across our own enterprise," Parkhurst told CRN. The deal also adds storage‑focused skills and a customer base spanning energy, utilities, health care, life sciences, defense and financial services—segments where ePlus previously had limited presence in Massachusetts.
Integration is expected to be swift. Parkhurst said ePlus has “a pretty good system” for acquisitions, noting that Daymark’s data was already loaded into ePlus systems over the weekend and on‑the‑job training is underway. The acquisition follows roughly 30 prior deals, the most recent being Realwave in September 2025, underscoring ePlus’s aggressive roll‑up strategy in the solution‑provider market.
Overall, the transaction expands ePlus’s Microsoft cloud capabilities, bolsters its vertical SaaS offerings, and positions the company to capture more expansion revenue from existing and new Northeast customers.
Why It Matters
For ePlus, Daymark’s higher‑tier CSP status and storage expertise immediately lift its Microsoft cloud service tier, enabling the firm to compete more aggressively for large enterprise contracts that demand deep Microsoft integration. The addition of Daymark’s vertical customer base also opens cross‑sell opportunities for ePlus’s broader portfolio, potentially boosting net revenue retention in high‑margin sectors such as health care and defense.
Daymark’s leadership staying on board ensures continuity for its clients while giving ePlus a foothold in the Massachusetts market—a region where competitors like CDW and Insight have traditionally dominated. The rapid integration model reduces operational risk, allowing ePlus to leverage Daymark’s contracts without a prolonged transition period, which could pressure rivals to accelerate their own consolidation efforts.
Key Points
- ePlus completed the acquisition of Daymark Solutions on August 25, 2026; financial terms were not disclosed
- Daymark’s CSP credentials are higher than ePlus’s, enhancing the acquirer’s Microsoft cloud tier
- All Daymark employees, including co‑owners Timothy Donovan and Brian Casey, will join ePlus
- The deal expands ePlus’s presence in the Northeast and adds verticals such as health care, energy and defense
- ePlus plans to retain the Daymark brand temporarily before transitioning customers to ePlus
Analysis
The ePlus‑Daymark deal reflects a broader consolidation trend among Microsoft‑focused solution providers, where acquiring higher‑tier CSP partners accelerates ARR growth and improves net revenue retention. While the purchase price remains private, comparable Microsoft cloud roll‑ups have commanded multiples of 8‑12 x ARR, driven by the premium placed on deep platform expertise and cross‑sell potential. By integrating Daymark’s storage and cybersecurity capabilities, ePlus can deepen its average contract value and capture expansion revenue from existing enterprise accounts, a key lever for scaling gross margins in the SaaS‑enabled services model.
For investors, the transaction signals confidence in the continued demand for hybrid cloud and AI‑infused workloads, especially as Microsoft embeds Copilot across its suite. Operators can expect tighter bundling of cloud, security and data‑center services, pressuring peers to either build similar capabilities in‑house or pursue similar acquisitions. The rapid integration approach highlighted by ePlus reduces execution risk, a factor that often discounts the valuation of platform‑centric M&A. Overall, the deal underscores the premium placed on CSP credentials and vertical expertise as the market seeks to lock in high‑margin, recurring revenue streams.