Intermedia has been acquired by Chicago-based PE firm Madison Dearborn Partners (MDP). Intermedia is known as the world's largest independent provider of cloud Microsoft Exchange email, generating annualised revenues of $200m with 75,000 customers, 6,000 active partners and 700 employees around the globe.
The deal sees Intermedia's shareholders led by Oak Hill Capital Partners sell their stake in the company to MDP and company management. Intermedia, which was founded in 1995, was acquired by Oak Hill in 2011.
The partnership with MDP is expected to accelerate Intermedia's growth trajectory through increased investment in the company's channel partner programmes and more acquisitions.
Michael Gold, who will remain Intermedia's CEO, said: "Over the past five years we've more than tripled our revenues, EBITDA, users and product offerings. We've also experienced dramatic growth of our customer and partner base."
Zaid Alsikafi, a Managing Director at MDP, stated: "Intermedia is successfully capitalising on the global shift to the cloud, and possesses tremendous upside potential to capture further opportunities with its reach, scalability, customer support offerings and enhanced product functionality."
Gold added: "Recognising that the channel influences 65-75% of IT spending, we've built our business to meet the needs of the channel. Intermedia's cloud applications and management platform provide a number of key benefits for our partners, including a private label model, as well as operational, technical, marketing, and sales support. With MDP, I look forward to further strengthening our leadership position in the $20+ billion cloud business applications market."
The transaction is expected to close this calendar year, subject to customary regulatory approvals and other customary closing conditions.