Cloud Equity Group Completes Carve-Out from A2 Hosting
October 26, 2020
NEW YORK, NY (October 26, 2020) – Cloud Equity Group, a lower and middle market private equity firm, today it announced that it has completed the acquisition of all Windows-based shared and reseller hosting customers from A2 Hosting in a corporate carve-out transaction. Financial terms of the transaction were not disclosed.
This strategic acquisition for over 5,000 hosting services internationally involves both the extraction of all pertinent customer information from A2 Hosting’s customer portal but also the migration of all client website, e-mail, and database data on to new servers.
“In a corporate carve-out like this, different considerations come into play than a company acquisition,” noted Bryan Muthig, CEO of A2 Hosting. “Not only do the parties have to agree on all the customary terms, but items such as information and technology transfer become even more critical, as both parties aim to minimize disruption for clients. We saw Cloud Equity Group as a great fit for a complex transaction like this and believe that they will create a great new home for the client base.”
Sean Frank, Managing Partner at Cloud Equity Group, stated “We are incredibly proud to have completed this transaction with A2 Hosting, a highly regarding hosting provider and corporate transaction partner. Not only does this present an exciting growth opportunity for our existing platform, this also represents that hallmark of Cloud Equity Group’s strategy to partner with corporations in complex carve-out transactions.”
About Cloud Equity Group
Cloud Equity Group is a strategically positioned investment management firm capitalizing on the rapidly expanding industries of web hosting and cloud-based infrastructure. The company’s primary focus is leveraging investor capital in the acquisition of private lower middle market companies that possess high levels of unlevered free cash flow and/or significant opportunity for exponential growth. Their portfolio’s target build-up models unlocking unrealized efficiencies and profitability, while driving optimal enterprise valuations.
About A2 Hosting
A2 Hosting, Inc. is a high-performance hosting company located in Ann Arbor, MI. A2 Hosting provides their customers with ultra-reliable solutions and 24/7/365 US-based support from their Guru Crew team. Since 2003, A2 Hosting has offered innovative, affordable, and developer-friendly hosting for small and medium-sized businesses and web professionals of all sizes globally. Customers seeking the fastest hosting options in the industry can host websites of any size on A2’s Turbo server platform featuring page load speeds up to 20X faster compared to competing hosts.
Cloud Equity Group
P : 212-618-1298