Portland hospitality and community Wi-Fi company Eleven Software Inc. has been acquired by private equity firm Ven Capital Partners.
Financial terms were not disclosed but the new owner intends to keep the roughly 50 Portland employees and the company’s downtown headquarters.
Eleven was founded in 2002 and makes cloud software to offer Wi-Fi connections for hospitality, multifamily and other community-based customers. The company has customers in 50 countries and has 20 million device connections daily.
“We couldn’t be more thrilled with the acquisition by Ven Capital. Their impressive portfolio of investors, access to capital and focus on our core industries will create incredible opportunities for our customers and employees,” said Peri Pierone, Eleven CEO. “We’re seeing an increasingly more strategic approach to Wi-Fi for networks outside the home and office, and with Ven’s capital backing, Eleven is well positioned to accelerate its growth trajectory and become the world leader.”
As part of the deal Pierone is stepping down as CEO. He is succeeded by Hannah Greenberg, who is also a managing partner at Venn. Pierone has been CEO since 2017.
Eleven’s customers use its technology to manage guest Wi-Fi, authenticate users, customize entry portals and understand usage. The company had a business installing and managing equipment for hotel business centers, but it sold that unit in 2016 to focus on the cloud software business.
Over the years, the company has been backed by dozens of local investors. Its only venture investor was Capybara Ventures, run by Eric Rosenfeld.
“We should all feel really proud to see a Portland company, founded and run by Portland entrepreneurs, supported by Portland investors, with Portland hotels as initial customers, grow to become the global leader in guest-facing Wi-Fi technology for hotels and similar venues,” said Rosenfeld in an email. “Remarkably, Eleven’s technology supports guests at over 10,000 properties in over 50 countries.”
Ven takes controlling stakes in businesses that allow for exits and succession plans for business owners, according to the firm’s website. It looks for companies with $5 million to $150 million in revenue.
“Eleven has a strong reputation as a market leader and the company’s impressive growth positions it well for the next chapter,” said Greenberg in a written statement. “The company’s culture, record of innovation, and dedication to its blue-chip customers made this an easy investment decision for our firm and our investors.”
