Hivelocity, a top supplier of bare metal hosting, has been successfully acquired by Colohouse, a portfolio company of Valterra Partners and a major player in the colocation, cloud, hosting, and network services industries. Addressing growing market demand, this strategic acquisition combines the services portfolio of two well-established hosting providers with a focus on cloud and bare metal services.
Founded in 2002, Hivelocity is a top supplier of colocation services, private cloud solutions, and customized bare-metal servers. With its global clientele in mind, Hivelocity, headquartered located in Tampa, Florida, provides high-performance infrastructure that is customized to satisfy the specific needs of companies in a variety of sectors, such as e-commerce, and healthcare. Financial terms of this acquisition were not disclosed.
“Our acquisition of Hivelocity is a strategic move to enhance our capabilities and reinforce our commitment to delivering top-tier IT infrastructure services,” said Jeremy Pease, CEO at Colohouse. “Together, Colohouse and Hivelocity create a unique, next-generation provider that places the customer’s needs and success at the forefront, providing them with the connectivity and computing power required to deploy and manage modern applications and data.”
“Our acquisition of Hivelocity is a strategic move to enhance our capabilities and reinforce our commitment to delivering top-tier IT infrastructure services,” said Jeremy Pease, CEO at Colohouse.Early in the third quarter of 2024, the merged companies will introduce a new private cloud offering that is tailored for enterprise virtualization environments to optimize for workloads with complex applications, architectures, scalability, and security requirements. This is in addition to the integration of their current services.
“Our mission at Hivelocity is to create a company with a singular focus on simplifying hosting with an exceptional customer experience,” said Mike Architetto, CEO at Hivelocity. “We have continuously excelled at our mission, grown our customer base and kept up with their demands, which led us from a single rack of servers to operating 40+ world-class data centers on 6 continents. Combined with Colohouse, Hivelocity can accelerate its capabilities and continue its legacy of simplifying IT for its customers.”
‘A High Growth Market’
According to Colohouse, the following will be significant benefits of acquiring Hivelocity:
Full-service hybrid cloud product offering – Hivelocity’s bare metal servers, virtual private cloud solutions, and network automation are added to Colohouse, fortifying the company’s infrastructure and hosting portfolio. Together, the companies can better meet the needs of customers looking to maximize cost-efficiency, performance, and security for a wider range of applications that demand more processing power and connectivity alternatives.
Automation and self-service capabilities across private infrastructure - The combined business would enable quick deployment and scaling of private computation and connectivity resources across dozens of domestic and foreign locations as a next-generation service provider. This combined platform would enable and integrate modern capabilities including developer tools, APIs, and SDN.
Top tier talent helping customers succeed - The transaction is based on a shared dedication to prioritizing the success and demands of customers. The most effective solutions would offer knowledge when required and automation when desired, according to Colohouse. The united teams have decades of experience in providing services and are dedicated to providing outstanding customer service, the company added.
With the purchase of Hivelocity included, Colohouse has already completed seven acquisitions since 2021, all of which were made possible by ongoing funding and support from Valterra Partners. As part of the deal, William LaPerch will be joining the Board of Directors.
Hivelocity received legal and financial advice from Gunster and DH Capital, a Division of Citizens.
“The combination of Colohouse and Hivelocity is the result of a multiyear strategy to acquire and develop a differentiated data center and hybrid cloud provider that provides a platform of significant scale within a high growth market,” said Kevin Reed, Managing Director of Valterra Partners. “In addition to completing strategic products and expanding capabilities across a broad geographic footprint, the merged company offers a competent leadership team and will support significant development.”
