(mt) Media Temple, Virtualization Services Provider, Raises $15 Million in Growth Capital
(mt) Media Temple, Inc. - 04/21/2010
LOS ANGELES, CA, April 21, 2010 - (mt) Media Temple, Inc., a global provider of virtualized, managed hosting, today announced its first outside investment of $15 million in expansion capital from Triangle Capital Corporation (Raleigh, NC) as lead investor, and GMB Mezzanine Capital, L.P. (Minneapolis, MN). The technology investment banking group of Morgan Joseph & Co. Inc. advised Media Temple on the transaction and arranged the financing.
“(mt) has experienced significant growth since inception in 1998. The leadership team has done a fantastic job at bootstrapping the business while simultaneously building a world-class culture centered around customer service. With the opportunities presented by our new product roadmap, it became clear that now was the time to raise our first round of growth capital.” said Demian Sellfors, CEO.
“The new investment will help us to continue the quality of our growth in the future. We are especially pleased to be associated with Triangle Capital and GMB Mezzanine Capital who both have strong relationships and domain expertise in our industry. We look forward to a mutually beneficial, long-term relationship with our new investors.”
“(mt) Media Temple has an outstanding record of growth, a blue chip roster of clients and thought leaders, and an outstanding culture of innovation and customer service,” said Cary Nordan, a principal of Triangle Capital. “Despite a challenging economic environment over the past couple of years, we were impressed that Media Temple continued to experience strong, profitable growth. In addition, the Company’s internationally recognized brand with customers in over 60 countries and having a reputation of exceptional customer service and a robust product roadmap, (mt) is strongly positioned as a leader in the markets they serve. Demian Sellfors, John Carey and their team have built a great company, and we look forward to partnering with them as (mt) initiates the next phase of growth.”
“As one of the first virtualization providers, long before “cloud” and Amazon and Rackspace, and an early adopter of clustered computing, (mt) Media Temple has created a highly unique and alternative company in the hosting industry. We are very pleased to have been able to assist the company in securing this growth financing,” said Gene Ramirez, a Managing Director of Morgan Joseph. “We look forward to continuing to provide support for Media Temple as it focuses on accelerating go-to-market initiatives across new geographies and product lines, evaluates synergistic acquisition opportunities, and secures its position as a leading Virtualization Services Provider.”
Proceeds of the investment will be used principally for infrastructure capital expenditures, new products, working capital, and debt repayment.
About (mt) Media Temple
(mt) Media Temple, Inc. is a web hosting and virtualization service provider headquartered in Los Angeles, California. Since 1998, the company has provided businesses around the world with reliable, professional-class services to host websites, email, business applications, and other rich Internet content.
The team is comprised of 150+ incredibly smart and friendly employees who help create an award-winning culture. (mt) is an always-on company (24/7/365) with a U.S. based support department serving customers in over 60+ countries. The company offers support anytime by phone, email and also Twitter.
(mt) Media Temple’s infrastructure serves 85,000+ customers and more than 600,000 domains in top tier datacenters on the east and west coasts of the United States. English is the company’s primary language, but the employees also occasionally speak Spanish, Russian, Romanian, Swedish, Korean and Armenian.
About Triangle Capital
Triangle Capital Corporation (www.TCAP.com) is a specialty finance company organized to provide customized financing solutions to lower middle market companies throughout the United States. Triangle’s investment objective is to seek attractive returns by generating current income from debt investments and capital appreciation from equity related investments. Triangle’s investment philosophy is to partner with business owners, management teams and financial sponsors to provide flexible financing solutions to fund growth, changes of control, or other corporate events. Triangle typically invests $5.0 - $20.0 million per transaction in companies with annual revenues between $20.0 and $100.0 million and EBITDA between $2.0 and $20.0 million.
Triangle has elected to be treated as a business development company under the Investment Company Act of 1940 ("1940 Act"). Triangle is required to comply with a series of regulatory requirements under the 1940 Act as well as applicable NASDAQ, federal and state laws and regulations. Triangle has elected to be treated as a regulated investment company under the Internal Revenue Code of 1986. Failure to comply with any of the laws and regulations that apply to Triangle could have a material adverse effect on Triangle and its stockholders.
About Morgan Joseph
Morgan Joseph & Co. Inc., a New York City headquartered full service investment bank, provides financial advisory and capital raising services including M&A and restructuring advice, and equity and debt private placements and public offerings. In addition, Morgan Joseph provides research and trading for institutional clients. Morgan Joseph’s staff of over 120 includes more than 65 investment bankers, who are highly experienced professionals mostly from major Wall Street firms and intimately familiar with the issues facing middle market companies. The firm is a member of both the Financial Industry Regulatory Authority (FINRA) and the Securities Investors Protection Corp. (SIPC).