Virtualization Player GlassHouse Registers for $100 Million IPO
GlassHouse Technologies of Framingham, MA, which provides data center management consulting services and Internet-based data backup services, registered Tuesday for an initial public offering that the company hopes will raise up to $100 million.
The company is a player in the red-hot market for corporate server virtualization, helping customers to plan and manage virtualization projects using technology from other companies such as EMC subsidary VMware. GlassHouse also specializes in helping companies to reduce the power needs of their data centers. Its clients include JP Morgan, Morgan Stanley, State Street Global Advisors, Reed Elsevier, Biogen Idec, and Virgin Atlantic.
The venture-backed firm has raised $35 million since 2001 from Boston investors Sigma Partners and Globespan Capital Partners, Waltham, MA-based GrandBanks Capital and Kodiak Ventures, and Washington, D.C.-based Paladin Capital Group. Though the company reported a net loss of $9.6 million in 2006, its services revenues grew from $26 million for the first three quarters of 2006 to $40 million for the same period in 2007.
According to a filing with the Securities and Exchange Commission, the company plans to use the money raised in its IPO for operating capital and strategic acquisitions.