Madison Dearborn Partners has acquired Intermedia, a cloud services provider (CSP) and cloud business applications provider that successfully diversified far beyond hosted Exchange. Financial terms were not disclosed, but a range of business growth metrics surfaced in the announcement.
As part of the transaction, Intermedia’s shareholders, led by Oak Hill Capital Partners will sell their stake in the company to MDP and company management. The transaction is expected to close this calendar year. Intermedia CEO Mike Gold will continue to lead the company.
Intermedia's CSP Growth
According to statements associated with the deal:
- Over the past five years, Intermedia has more than tripled its revenues, EBITDA, users and product offerings.
- Intermedia now offers more than 30 integrated cloud applications across security, voice, identity and access management and more.
- Intermedia now has more than 700 employees who support 1 million users across 75,000 businesses.
- Roughly 6,000 active channel partners -- VARs, MSPs, distributors and telcos -- also sell and support Intermedia solutions.
Intermedia's new owner, Madison Dearborn Partners (MDP), launched in 1992. The private equity firm has raised seven funds with aggregate capital of approximately $23 billion and has completed roughly 130 investments, the PE firm says.
Intermedia's sale comes just as Microsoft veteran Eric Martorano joins the company to drive sales.
Track all VAR, MSP and CSP acquisitions in ChannelE2E's Milestones section.
