Independence and a hot product are proving a growth tonic for Arcserve of Eden Prairie.
CEO Mike Crest of the firm that makes data-security-and-backup software, said sales grew 41 percent (to around $150 million in revenue) and global employment has topped 500 employees and 150 contractors.
Privately held Arcserve, which doesn’t release financial specifics, grew its market share by about 28 percent compared to industry growth of 5.5 percent, according to a recent report by Gartner, the computer-industry analyst and consulting firm.
Arcserve has won industry-analyst acclaim for it Arcserve UDP software, first introduced in 2015, that it describes as “ a fully-integrated, set and forget’ backup and recovery solution.”
Minnesota-born Crest teamed with Marlin Equity Partners, the California-based private equity investor in technology firms, to acquire Arcserve for about $170 million in 2014 from former parent CA Technologies of New York. Crest and Marlin foresaw an independent, growth company focused mostly on mid-sized customers that could be a $500 million-revenue concern within several years.
“We love being based Minnesota and recruiting in Minnesota,” said Crest. “You’ve got to work at it [in a seller’s market for quality people]. We have good people with rock solid networks.”
More than two-thirds of Arcserve’s clients are foreign. Client companies average 250 to 2,500 employees.
Neal st. anthony