Tom Nies, founder of Greater Cincinnati’s Cincom Systems Inc., is exiting his post after more than 50 years and selling his business to a serial acquirer in the software space.
The Springdale-headquartered firm, the region’s original tech startup, has been acquired by PartnerOne, a fast-growing Canadian-based enterprise software company.
Terms of the deal, set to be announced mid-morning Wednesday, June 12, were not disclosed. PartnerOne specializes in all-cash deals, according to its website.
The move comes as Nies, who started Cincom in 1968 and is considered the longest actively serving CEO in the computer industry, readies to retire.
PartnerOne has named Brian Bish as Cincom’s new CEO. Bish has a 30-plus year history with the firm, most recently serving as managing director, leading corporate operations including information technology, human resources, facilities and contract management.
“The executive team and I believe Cincom has found the perfect permanent home within the PartnerOne family,” Bish said in a news release. “This is a significant milestone in the incredible Cincom journey, and I look forward to guiding the company into our amazing next chapter while ensuring we maintain the outstanding level of service we have provided our customers for more than 50 years. We are thankful to all our employees, customers and partners for being the force behind our success.”
When Nies founded Cincom, he was a 32-year-old IBM computer salesman who wanted to branch out on his own. Cincom became the first U.S. software firm to promote the concept of a database management system in the 1960s; the first U.S. software firm to open an international office in Canada; and the first to expand to Europe, more than 30 years ago.
Nies, for his efforts, was recognized by President Ronald Reagan in 1984 as “the epitome of the entrepreneurial spirit of American business," and in 1995, he was profiled by the Smithsonian Institute as one of the “pioneers of the software industry,” alongside other industry giants such as Bill Gates (Microsoft) and Larry Ellison (Oracle).
The firm today provides software solutions that help optimize complex business processes, including configure-price-quote services, customer communications management, business application and development. Its client base spans communications, financial services, education, government, manufacturing, retail, health care and insurance.
“The industry is very, very dynamic,” Nies said in an interview with the Courier in 2013. “It’s just constantly changing. Every five to seven years, we’ve continuously revitalized and regenerated ourselves.”
Cincom declined to disclose revenue. The company has more than 400 employees worldwide. It was unclear if all team members would make the transition to PartnerOne.
PartnerOne serves more than 1,500 enterprise customers and has offices both in the U.S. and abroad, offering data virtualization, centralized storage management, cloud tiering and storage optimization, multisystem communication platforms, middleware monitoring and user adoption.
It has grown both organically and through acquisitions, inking 14 deals in recent years. The company typically targets businesses with $5 million to $200 million in annual recurring revenue.
PartnerOne Portfolio Manager Andrew Hall said the firm hopes to provide Cincom with stronger resources to “ensure its success for another 50-plus years."
"Cincom’s impressive history of product leadership across a variety of markets fits naturally into the PartnerOne group of companies,” Hall said in the release.
