Horizon Data Center Solutions has raised $7.5 million in equity funding from Ballast Point Ventures, and will use the money to open new data centers in Virginia and Los Angeles, the company said this week. The funding will alsollow Horizon to expand development of its managed IT services and private cloud computing platform.
"This new investment accelerates our plans for expansion with the addition of new data centers in new markets," said Lance Smith, CEO of Horizon. "We have been working on opportunities in both Northern Virginia and California, in addition to expansion in our Dallas home market. This investment will allow us to move quickly on those opportunities to provide much needed top tier data center services to enterprise, Web 2.0 businesses and government entities in these regions."
Horizon currently operates two data centers in Digital Realty Trust (DLR) buildings in Carrollton, Texas and is working with Dallas-based broker GVA Cawley to evaluate new sites. Horizon says it will make an announcement about is Virginia expansion by the close of 2009. The company web site says Horizon's Dallas Three data center will be at Digital Realty's new data center campus in Richardson, Texas.
Ballast Point Ventures (BPV), a growth equity firm based in St. Petersburg, Fla. with $200 million under management,received a minority equity stake and a seat on the Horizon board for BPV partner Paul Johan.
"Horizon has delivered outstanding service to its customers and has brought to the marketplace a new approach that provides access to top tier data center space in a format that is scalable and agile," said Johan. "The Horizon approach has been well received by both data center industry analysts and customers, as is evident in their rapid growth, which we found particularly impressive in a very difficult economic environment. We believe the company is well positioned to continue their growth, and we’re excited to partner with such a high quality management team."
Horizon Data Center Solutions was founded in 2007 by co-founders Lance A. Smith and Chuck Smith, long-time data center industry executives, with investment from the Eric Chancellor Family LTC Partnership (ECFLP), which will continue its relationship with Horizon in an equity position.