RagingWire Arranges $20M for Expansion
July 24th, 2008 By: Rich Miller
Colocation and managed hosting specialist RagingWire Enterprise Solutions (RES) has lined up an additional $20 million credit facility, the company said today. The loan from “one of the largest U.S. banks,” along with $30 million in funding secured in 2007, will allow RagingWire to accelerate its expansion, the company said.
“This bank financing demonstrates confidence in our operating model, predictable cash flow, and strong balance sheet,” said George Macricostas, CEO and Vice Chairman of RagingWire. “Eight years after start-up, we are in a very strong position in a growing industry, actively pursuing our expansion strategy.”
RagingWire, which is based in Sacramento, Calif., said it has experienced a compound annual growth rate of better than 50 percent over the last 6 years, and has been profitable for 16 consecutive quarters.
“We are very well positioned in the market place as demand for data center infrastructure and IT solutions continues to expand,” said Yatish Mishra, President and CTO of RagingWire. “We will introduce new products and services and move into new markets in the U.S., providing next generation technology solutions and managed hosting services to support the rapid growth of our clients.”
Founded in 2000, RES achieved sustained profitability in September 2004. The company provides custom IT solutions for large, data-intensive enterprise companies.