Hivelocity, a prime provider of bare metal hosting, has been successfully purchased by Colohouse, a firm under Valterra Partners and a big name in the colocation, cloud, hosting, and network services sectors. With an increased market demand, this strategic buyout brings together the services of two recognized hosting providers specializing in cloud and bare metal services.
Hivelocity, founded in 2002, is a premier provider of colocation services, private cloud solutions, and tailor-made bare-metal servers. Keeping its worldwide clientele in mind, Hivelocity, with its headquarters in Tampa, Florida, delivers high-performance infrastructure that is designed to meet the unique needs of businesses in various sectors, such as e-commerce and healthcare. The financial details of the acquisition were not disclosed.
“The acquisition of Hivelocity is a strategic step to boost our capabilities and reinforce our commitment to providing top-level IT infrastructure services,” noted Jeremy Pease, CEO at Colohouse. “Colohouse and Hivelocity together form a unique, next-gen provider that keeps our customers’ needs and success at the forefront, supplying them with the connectivity and computing power required to deploy and manage contemporary applications and data.”
In the early part of the third quarter of 2024, the combined companies will present a new private cloud solution that is designed for enterprise virtualization environments to optimize workloads with complex applications, architectures, scalability, and security requirements. This is besides the integration of their existing 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.”
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.”
