Datto is merging with Autotask, Autotask announced on Thursday. The combined company will offer data protection, backup and disaster recovery services for managed services providers.
Autotask, which has an office on Summer Street in downtown Boston, headquarters in East Greenbush, N.Y. and London. Datto, which also has a Boston office on Milk Street, is Connecticut's top funded startup, according to CBInsights.
The deal is private-equity backed. Private equity firm Vista Equity Partners, which acquired Autotask in 2014, will acquire Datto and merge the two technology companies. The combined Autotask-Datto company will be led by Datto’s executive team. Datto's current CEO is Austin McChord, who started the company in 2007. Autotask CEO Mark Cattini will continue to work closely with McChord and the combined team as a strategic advisor to the board of directors.
"We're honored to be joining forces with both the world's premier software investor, Vista Equity Partners, and with Autotask, the provider of the most essential tools for the MSP space," McChord said in a statement. "This unique combination of talent with a track record of success marks a new chapter that will make an even bigger impact for our Managed Service Provider partners, by delivering an unprecedented set of capabilities for them to serve millions of small businesses in the future."
Datto raised $25 million in Series A funding in 2013 from General Catalyst and $75 million Series B from TCV in 2015, according to Crunchbase.
The Autotask-Datto merger would mark the third day in a row that an M&A deal relevant to the Boston tech ecosystem is announced. On Tuesday, British manufacturer Delphi announced the acquisition of self-driving car startup nuTonomy for $450 million. On Wednesday, BBJ reported that Imprivata had acquired the identity and access management department of Caradigm, a GE Healthcare company, for an undisclosed amount.
The transaction is expected to close in the fourth quarter of 2017. Terms of the deal will not be disclosed.
