Zenith Infotech, a publicly-traded company specializing in remote monitoring and management, cloud computing and other technology for IT service providers, has spun off its managed services business, Zenith RMM. The newly independent business has also recently inked a growth equity investment from Summit Partners. As a result, Summit’s John Carroll and Jason Glass will join the Zenith RMM board of directors. Details of the financing were not released.
Zenith Infotech, a publicly-traded, international company specializing in remote monitoring and management, innovative business continuity, and cloud computing solutions for IT service providers, today announced that its Managed Services business unit has been spun off and is now operating as a new and separate company, Zenith RMM, LCC. Summit Partners made a sizable growth equity investment, and Summit’s John Carroll and Jason Glass will join the Zenith RMM Board of Directors. The newly formed company plans to focus its efforts and invest to accelerate product development, improve its market-leading service, and expand its thought leadership.
Active in managed services since 2005, Zenith RMM has revolutionized remote monitoring and management (RMM) by tightly integrating a world-class Network Operations Center (NOC) with a comprehensive, SaaS-based management portal. This powerful combination shatters the break-fix barrier and enables Managed Services Providers (MSPs) to achieve a level of automation, efficiency and profit that until now was not possible with a software-only solution. The key is Zenith RMM’s ability to provide full problem resolution and cost-effective 24/7 support. As a result, its MSP partners achieve gross margins that are significantly higher than MSPs that use only software tools. The exceptional value of the Zenith RMM platform has established Zenith RMM as the leading provider of intelligent, resolution-oriented management software for MSPs. Today, nearly 3,000 MSP partners use the Zenith RMM platform to manage almost 400,000 endpoints.
“Today’s announcement represents a focused and strategic approach to better address the overall needs of managed services providers,” said Akash Saraf, Managing Director and CEO of Zenith Infotech. “We owe a debt of gratitude to our loyal partners that have helped us create a leading managed services offering. I look forward to working closely with the Zenith RMM leadership team to help create an exciting vision for the next generation of software services.” Zenith Infotech will continue to be a major shareholder of Zenith RMM, and Mr. Saraf will be a member of the Board of Directors of Zenith RMM.
“This announcement is tremendous for Zenith RMM’s partners, as it creates a strong U.S.-based company that is fully dedicated to managed services,” said Larry Shulman, owner of LMS Technical Services, a Zenith RMM partner. “Zenith’s management portal and world-class NOC are an essential part of our IT services offering. We are confident that the company’s dedicated focus on RMM will continue to strengthen the company’s platform and our partnership, allowing us to keep delivering an exceptional level of service to our customers.”
“Zenith’s managed services help us keep our customers’ IT environments performing at their peak,” said Arlin Sorensen, CEO of Heartland Technology Solutions, another Zenith RMM partner. “We are thrilled with the news and the company’s increased investment in product development. Zenith RMM shared a high-level product roadmap that highlights their commitment to rapidly deliver enhancements to the management platform in several important areas, such as increased automation, expanded endpoint coverage—including mobile devices—custom reporting and more complete virtualization support.”
John Carroll, a Managing Director of Summit Partners, said, “We are very pleased that Michael George, a proven executive with 25 years of experience in leading high-growth software companies, has joined Zenith RMM as CEO. Michael is recruiting a world-class management team and, as a very customer and market-centric executive, he will quickly engage Zenith RMM’s partner community to discuss the company’s strategies for accelerating growth—including an elevated channel enablement program and expansion of the company’s leading platform for managed service providers.”
Jason Glass, a Principal of Summit Partners, added, “Zenith Infotech created a compelling offering that has been broadly adopted in the managed services sector. We are pleased to invest in Zenith RMM and look forward to working closely with Michael and the new management team to support the company’s continued growth and expansion.”
About Zenith Infotech
Zenith Infotech is an international company that specializes in delivering innovative business continuity and cloud computing solutions for IT service providers. The company’s U.S. headquarters is located in Warrendale, Pennsylvania. Learn more at www.zenithinfotech.com.
About Zenith RMM
Zenith RMM provides a leading SaaS-based managed services platform that Managed Services Providers (MSPs) use to efficiently monitor, troubleshoot and maintain desktops, servers and other endpoints for small and medium sized businesses (SMBs). The comprehensive management portal supports hybrid computing environments and tightly integrates a world-class Network Operations Center (NOC) with a highly automated Remote Monitoring and Management (RMM) platform. The company entered the managed services market in 2005 and currently monitors almost 400,000 endpoints. For more information, please visit www.zenithrmm.com.
About Summit Partners
Summit Partners (www.summitpartners.com) is a growth equity investor that provides private equity and venture capital to rapidly growing companies. Founded in 1984, Summit has raised more than $11 billion in capital and has provided growth equity, recapitalization and management buyout financing to more than 330 growing companies across a range of industries and geographies. Summit Partners seeks outstanding management teams that have built their companies to market leadership. Summit’s notable investments in the software sector include AvePoint, Hyperion Software, GoldenGate Software, McAfee, Postini, Sybari Software, Telerik and Unica.
In the United States of America, Summit Partners operates as an SEC-registered investment advisor. In the United Kingdom, this document is issued by Summit Partners Limited, a firm authorized and regulated by the Financial Services Authority. Summit Partners Limited is a limited company registered in England and Wales with company number 4141197, and its registered office is at 20–22 Bedford Row, London, WC1R 4JS, UK. This document is intended solely to provide information regarding Summit Partners’ potential financing capabilities for prospective portfolio companies.