Business process outsourcing specialist Xafinity has started a buy-and-build strategy with the acquisition of one of its competitors.

Business process outsourcing specialist Xafinity has started a buy-and-build strategy with the acquisition of one of its competitors.

The company has bought Hazell Carr, which provides pension administration services and self invested personal pensions (SIPP), for an undisclosed sum.

The deal has created a business that will generate revenues of more than £125 million and employs some 1,500 staff. This is Xafinity’s first acquisition since it was acquired by Duke Street Capital in 2005, and strengthens its business in a fragmented and rapidly developing sector.

Xafinity chief executive Tim Robinson said this is an exciting transaction. “Through this acquisition we’ve made our first step towards realising our ambition of becoming a leading force in the UK pensions and benefits market.”

Duke Street investment director Oliver Mayer added that the acquisition is an important step in Xafinity’s development. “This deal demonstrates that even in a challenging transaction environment, it is still possible to identify and complete attractive acquisitions.”

Xafinity provides pensions software, employee benefits consultation and pensions administration services.