ComfortHost, a portfolio company of New York-based private equity investment manager Cloud Equity Group, has acquired all assets of Adantagecom Networks Inc. This strategic deal is intended to expand ComfortHost’s global hosting footprint.
Originally founded in 1995, Advantagecom Networks is based in Washington. It operates out of its custom-built local data center facility. The company provides a variety of cloud hosting, virtual private servers (VPS hosting), and web hosting services. Advantagecom will maintain its own brand and will continue to be supported by the existing team, stated Cloud Equity Group. Financial terms of this acquisition were not disclosed.
“In nearly 25 years in the web hosting industry, Advantagecom Networks has launched some great ideas, created some dynamic technologies, refined processes, and serviced many really great customers,” said Andrew Kinney, Chief Technology Officer (CTO) and President of Advantagecom Networks. “I am pleased that Cloud Equity Group and their affiliated companies can continue to provide great service to the customer base we built and expand the service available to these customers.”
Acquiring Hosting Companies
ComfortHost is interested in customer service-focused hosting providers that can strategically help it to expand into new markets. The acquisition of Advantagecom is consistent with ComfortHost’s strategy of providing a diversified hosting service offering across multiple geographical locations worldwide, added the private equity firm.
“The Advantagecom Networks acquisition represents a synergistic expansion of ComfortHost’s geographical and product capabilities that compliments the company’s strategic goal of being a diversified provider of all major hosting solutions,” said Sean Frank, Managing Partner at Cloud Equity Group. “With data centers located across the United States, the United Kingdom, and the European Union, the Advantagecom acquisition will expand ComfortHost’s global footprint into the Northwest region of the United States. This acquisition also adds new technology, such as hardware-based virtualized cloud infrastructure, to ComfortHost’s existing service offerings.”
ComfortHost is a strategically positioned investment management firm capitalizing on the rapidly expanding industries of web hosting and cloud-based infrastructure. The firm’s primary focus is leveraging investor capital in the acquisition of private lower middle market companies. They are especially interested in companies that possess high levels of unlevered free cash flow and/or significant opportunity for exponential growth.
This article was also published to the HostingJournalist WhatsApp channel.
Subscribe here for free and stay informed, max one message a day
