Colohouse acquires Hivelocity to address cloud and bare metal services opportunities

April 2, 2024
This deal elevates the company’s service offerings, addressing customer demand with enhanced automation capabilities.

Colohouse, a portfolio company of  Valterra Partners and a colocation, cloud, hosting, and network services provider, has acquired Hivelocity, a bare metal hosting provider. Combining the two companies creates an even more significant player focused on cloud and bare metal services to meet growing market demand.

By acquiring Hivelocity, Colohouse gains several benefits in terms of hybrid cloud services, automation, customer service, and new product offerings.

The acquisition bolsters Colohouse's infrastructure and hosting services with Hivelocity's robust bare metal servers, network automation, and virtual private cloud solutions. As a combined company, Colohouse can address the demand for a more comprehensive range of solutions for applications and data that require more computing power and connectivity options as customers seek to optimize cost, performance and security.

As a next-generation service provider, the combined company will enable rapid deployment and scalability of private computing and connectivity resources across dozens of domestic and international locations. This platform allows for and integrates modern capabilities, including developer tools, APIs, and SDN.

Another element of the acquisition is a veteran team that can address customer needs. The combined company will be able to balance customers’ needs for automation with hands-on service as needed.

But the combined company is not going to rest on its laurels. Besides integrating existing services, the combined company will launch a new private cloud offering early in the third quarter, specifically designed for enterprise virtualization environments to optimize workloads with complex applications, architectures, scalability, and security requirements.

With the acquisition of Hivelocity, Colohouse has now completed seven acquisitions since 2021, backed by continued support and investment from Valterra Partners. As part of the transaction, William LaPerch will be joining the Board of Directors.

 “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. “The combined business provides a talented executive team, completes strategic offerings and expands capacities across a substantial geographic footprint that will support substantial growth.”

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