Orpheum Hosting Acquires California Company

Orpheum Hosting Solutions, a six-year-old Canadian web host provider based in Ontario, announced earlier this week (third week of June, 2012) a deal to acquire AeroVPS. The American company was originally established in 2010 as a division of Horizon Hosting. They acquired another small hosting company named RackLot this past February before putting most of their non-dedicated assets up for sale. No details have been released regarding the purchase price or when the acquisition will be completed.

According to Orpheum officials, the sale came about in a most unusual way. The two companies originally connected via popular web hosting forum WebHostingTalk, then used that form to conduct negotiations. Although it’s possible there have been other corporate acquisitions done this way, it is highly unusual. This may be the only recorded instance of such a transaction occurring among companies in the web hosting industry. Regardless, it is a great score for Orpheum as they seek to expand their business worldwide.

“I’m proud of how far Orpheum has come in such a short time, and expanding our business internationally was the next step in ensuring that Orpheum is here to stay,” said CEO Derek Silva in an official company statement. “Acquiring most of the customers and assets held by AeroVPS, and being able to provide the services our clients need in order to communicate with their customers, has allowed us to create a very solid foundation for future growth.”

The acquisition gives Orpheum new customers in South Africa, the US, and the UK. It also provides some of the infrastructure they need to launch VPS services for existing customers. Orpheum has said they plan to hire new support staff which will enable quicker response times and let Tier 2 support and administrative staff to further concentrate on their own responsibilities.

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