It's been a big month for Iowa-based data center providers. Last week TEAM Technologies was bought by TDS Telecom for $47 million. This week Involta LLC said that it has raised $8 million in expansion capital, which will be used to build two new data centers.
One of the new facilities will be a previously announced a 46,000 square foot enterprise data center in Akron, Ohio. The location of the second new facility "will be announced in the coming months," said Involta. Financing in the equity round was led by Stephen Gray of Gray Venture Partners, LLC, who will serve as chairman of the Involta board of directors.
"Demand for quality data centers is currently exceeding supply," said Gray. "Involta is well positioned to take advantage of these trends."
"We are very pleased with the results of the equity round," said Bruce Lehrman, CEO of Involta. "Our ability to raise funds is testimony to the success of the latest Involta data center in Eastern Iowa. The capital raised in this round will allow the business model driving that success to be replicated in other Midwest markets."
Involta also announces the addition of three new directors to the firm's board: Jeff Benjamin, a New York financier, Mary Quass, CEO of NRG Media and Jim Hoffman, Executive Director of 2001 Development Corporation.