Stonecourt Capital Buys 365 Data Centers

Bit Ninja

Under the leadership of CEO Bob DeSantis, 365 Data Centers has developed into a large privately owned data center solutions provider servicing over 650 customers in the eastern United States. Now it has been acquired by Stonecourt Capital for an undisclosed sum of money. 365’s management team, including CEO Bob DeSantis, will continue operating the hybrid data center solutions provider.

365 Data Centers currently operates 230,000 square feet of data center space and 22 MW of available power. It also has established a fully redundant 100G network interconnecting its 12 data centers, 21 other Points-of-Presence (PoPs), and over 400 peering partners.

Bob DeSantis will continue to lead the company as CEO, a board member, and investor. He has led the transformation of 365 Data Centers from a strictly colocation business operating 8 data centers with an aggregate of 125,000 square feet and 9MW of available power, into a network-centric, full-service, hybrid data solutions provider. Since inception in 2017, 365 Data Centers has acquired, financed, and fully integrated four complementary businesses.

“We are pleased to welcome Stonecourt as a partner in 365 Data Centers,” said Bob DeSantis. “Stonecourt has a proven reputation of supporting growth businesses with financial and strategic resources, and we are excited to partner with them to foster the next phase of the company’s expansion. The 365 team will remain fully intact, and this partnership will enhance our ability to execute on our organic and acquisition growth strategies. On behalf of the entire 365 team, I want to thank our outgoing investors, Chirisa Investments and Turning Rock Partners, and our outgoing Board members Colm Piercy and Maggie Arvedlund, who have supported the company and me since the beginning.”

Stonecourt Capital, Chirisa Holdings

Bob DeSantis
“Stonecourt has a proven reputation of supporting growth businesses with financial and strategic resources, and we are excited to partner with them to foster the next phase of the company’s expansion,” said Bob DeSantis, CEO of 365 Data Centers.

Bank Street Group served as exclusive financial advisor to both 365 Data Centers and Stonecourt Capital in connection with the transaction. Shipman & Goodwin acted as legal counsel to 365, and Polsinelli PC acted as legal counsel to Stonecourt.

“We are very impressed by the portfolio of data center and fiber assets that Bob and the 365 team have successfully integrated,” said Lance Hirt, Managing Partner at Stonecourt. “The company’s blue chip enterprise and carrier customer base creates a unique platform. We are excited to partner with Bob, Lumerity Capital, Longboat Advisors, and the 365 team to deploy significant additional capital to accelerate the company’s growth trajectory. We are already engaged on several near-term acquisition opportunities which will meaningfully enhance the company’s service offerings.”

Over the last 20 years, Stonecourt Capital has invested over $4 billion of equity capital. The private investment firm is focused on providing financial and strategic resources to facilitate the transformational growth of companies across a broad array of industries. Stonecourt is backed by some of the largest family offices, sovereign wealth funds, and other institutional investors.

“This transaction represents an important milestone for the company as it recognizes the unrivaled achievements of the team to significantly scale and transform the business into a leading provider of hybrid data infrastructure services,” said Matt Kim, Managing Partner of Lumerity Capital and a continuing Board member of 365 Data Centers. “We look forward to partnering with Stonecourt to support Bob and the 365 team in executing on the Company’s growth strategy and in enhancing the company’s value to its customers.”

Chirisa Holdings has led the investment in 365 since 2017 alongside CEO Bob DeSantis and co-investors Lumerity Capital, Turning Rock Partners and Longboat Advisors.

“This transaction is a key milestone for 365 and highlights the unrivalled achievements of the team to significantly scale and transform the business into a leading provider of hybrid data infrastructure services,” said Colm Piercy, founder and Executive Chairman of Chirisa. “The engaged partnership among the 365 investor group of Turning Rock, Lumerity, Longboat, Quay Ventures and Chirisa has been highly effective in driving a significant return from our strategy, resources and capital invested in the business. Our successful investment in 365 is the latest example of Chirisa’s ability to put our own capital and judgement as an investor/operator to work alongside institutional investors.”