Cloudreach acquisition reflects important market changes
Private equity powerhouse, Blackstone, has acquired Cloudreach, the cloud enablement company headquartered in the UK. Cloudreach uses the tag line “Not if. When”, which is a fitting reference to a position as a highly attractive acquisition target. While we have no doubt the company has been approached many times by interested trade buyers, our sense is that founder Pontus Noren was not about to sell out to another vendor – especially one from the ‘old world’ of IT services (even if they could afford the price tag!). Indeed, the acquisition is a smart move for both parties, and one that is well timed to benefit from an evolving public cloud market.