Seaport Capital Partners Sells Peak 10
October 5, 2010
Peak 10 Inc., a managed services company with world-class data centers, and Welsh, Carson, Anderson & Stowe (“Welsh Carson”), a leading private equity firm, have entered into a transaction in which Welsh Carson and Peak 10’s executive management will acquire a majority shareholder interest in Peak 10. Selling shareholders include majority owner Seaport Capital, a New York-based private equity firm and McCarthy Capital, an Omaha, Neb.-based private equity fund.
Peak 10’s existing management team, led by Co-Founder, President and CEO David Jones will continue to operate the business. David Jones indicated, “Our partnership with Welsh Carson enables Peak 10 to continue increasing the scale of our business to meet the high demand for data center infrastructure and related managed services. Our strategic focus remains intact but our resources now position us to more rapidly extend our geographic footprint, strengthen our team and further accelerate our managed services and cloud offerings.
Since the company’s inception in 2000, Peak 10 has managed a path of steady and consistent growth achieved through expansion in the greenfield markets of Jacksonville, Fla.; Charlotte, N.C.; Tampa, Fla. and Raleigh, N.C., and through acquisitions of established data center companies in Louisville, Ky.; Nashville, Tenn.; Richmond, Va. and, most recently, Fort Lauderdale, Fla. In 2007 and early 2008, Peak 10 opened greenfield data centers in Atlanta, Ga. and Cincinnati, Ohio respectively. Over the last two years Peak 10 has completed construction of additional facilities in five of its markets to meet customer growth and demand.
“Through its organic growth as well as strategic acquisitions and greenfield activities in entering new markets, Peak 10’s management team has continually outpaced its competition. The company’s growth has been impressive and we are excited to add Peak 10 to our portfolio of business services companies,” said John Clark, general partner at Welsh Carson.
“We are extremely proud that Welsh Carson, one of the largest and most successful private equity firms in the United States, is investing in Peak 10 and our leadership team,” said David Jones. “Since founding the company, we have remained focused on becoming an industry leader and have consistently invested significant success-based capital into our existing facilities as well as strategic acquisitions. We continuously enhance and upgrade our technology solutions for our customers. More than ever, our management team remains committed to expanding into new metropolitan markets with attractive growth prospects and deepening services that provide scalable solutions to our customers.
“Seaport Capital has enjoyed its 10-year partnership with Peak 10,” said Scott McCormack, partner at Seaport Capital. “Working with and supporting the Peak 10 management team’s vision to grow the business from two sites into a leading data center facilities and managed services provider as a super-regional force in ten markets has been a great experience and we wish the management team and company continued success in the future.”