UK cloud services firm ControlCircle has been bought by AIM-listed telecoms provider Alternative Networks for £39.4 million ($64 million) in cash, the firms have announced.

Apart from being modestly profitable and growing, ControlCircle’s attraction is its nicely-balanced suite of cloud services, including business continuity, disaster recovery, virtualisation and IT management, and a network of data centres across Europe.

In short, Alternative needs the managed hosting which is where the profits now lie for telecoms firms that want to be more than WAN pipe pushers.

ControlCircle was founded as long ago as 2001 while, incredibly, Alternative Networks dates back as far as 1994. By Silicon Valley standards the pair would be antediluvian but in the UK they represent success stories.

“Both companies share a focus on premium service and technical excellence to the enterprise market with highly complementary customer sets and higher penetration in similar industry verticals,” said Alternative Networks CEO, Edward Spurrier.

“We intend to invest in the growth of ControlCircle and are confident that combining its services with those of Alternative will provide the Group with new and enhanced offerings to its customers.”

Alternative is certainly in a sudden hurry to get larger; barely tend days ago it bought SME hosted desktop firm Intercept for £12.95 million, also in cash. The parts of the cloud puzzle are falling into place.