Ajubeo Raises Third Round from Private Equity Investors to Go Global
Cloud infrastructure provider Ajubeo has raised an undisclosed amount from a Boulder, CO-based private equity firm and plans to use the financing to expand nationally within the next year and increase its international clientele.
Ajubeo (pronounced a-joo-bee-oh) is a cloud infrastructure-as-a-service provider based in Boulder. It has clients in the healthcare, financial services, and online gaming industries, said Mark Jobson, its vice president for marketing. Its services include virtual desktops and data servers, data backup and recovery, and private-label cloud networks.
Ajubeo was founded in 2011 and has about 20 employees, with most in Boulder.
While Ajubeo is trying to stay on the rapid growth curve tech startups strive for, it does not have and isn’t pursuing venture capital from traditional VC firms, Jobson said. Instead, Grey Mountain Partners, a Boulder-based private equity firm, is the only outside investor in the company.
Jobson said Grey Mountain’s recent investment is the third time it has put money into Ajubeo. Financial details about the investments are not being disclosed, but Grey Mountain typically takes majority positions in companies with an enterprise value of $30 million to $150 million, according to its website. Grey Mountain announced in July it raised a $425 million fund, its third. Most of its portfolio is outside the tech sector, according to its website.
Ajubeo will use the new money to add staff, open an office in the New York City area, develop its product, and upgrade and expand its infrastructure, Jobson said. Its ambition is to be able to support customers in the entire U.S. within the next year and to go global within the next three.
Major companies like Amazon and Rackspace are competitors, and Ajubeo is trying to differentiate itself based on offering customers more flexible and reliable customized services. Jobson said the number of its clients is in the hundreds.
Though Ajubeo isn’t disclosing much information about its finances, Jobson said the company has posted 600 percent quarterly revenue growth over the past 12 months.