(WEB HOST INDUSTRY REVIEW) — Canadian merchant bank Clairvest Group (www.clairvest.com) and Clairvest Equity Partners III Limited Partnership announced on Tuesday it has acquired 17.2 percent of the common shares of managed hosting provider PEER 1 Network Enterprises (www.peer1.com).
The Vancouver-based company provides managed hosting, self-managed hosting, colocation and network services through 16 data centers located in 13 cities across North America and the United Kingdom.
“PEER 1 is well positioned to capitalize on the long term demand for hosting services, driven by increased use of the Internet for core business operations and the continued trend toward outsourcing IT infrastructure,” says Fabio Banducci, president and CEO of PEER 1. “We are pleased to welcome Clairvest as a significant shareholder in the company given their track record in growing businesses.”
Clairvest purchased 20,538,470, or 17.2 percent of common shares of PEER 1 from Celerity Partners SBIC in June.
The purchase has now been amended to reflect the new exercise price of US$23,360,000 according to the Bank of Canada noon spot rate of exchange on August 24.
Clairvest has entered into an agreement, which is expected to close on or before August 27, with certain other shareholders of PEER 1.
The Canadian merchant bank acquired the common shares for investment purposes. The company says it may increase or decrease its beneficial ownership, control or direction over PEER 1.
