TruQC, a Kirkwood-based provider of data management software for industrial process companies, has inked a merger deal its founder says provides fresh capital and the ability to expand its operations.
The company has merged with Hattiesburg, Mississippi-based Spot Tracker, also a provider of data management software, to create a new company called Tru. The majority owner in Tru is Houston-based family office and private equity firm Jones Capital. Financial terms of the deal were not disclosed.
TruQC founder and CEO Ross Boyd will be CEO of Tru, with Spot Tracker founder and President Jason Dunn serving as chief revenue officer.
Boyd's launch of TruQC in 2011 stemmed from his tenure as operations manager at Pevely, Missouri-based industrial painting contractor Thomas Industrial Coatings. While at Thomas, Boyd was tasked with finding software to help the firm easily manage compliance and operations, but struggled to find a vendor. That led to the creation of TruQC’s software, which was initially used internally at Thomas before being spun off as its own entity.
After the spinoff, TruQC expanded beyond the industrial coating market, inking a deal with the National Shipbuilding Research Program. Its software today is used by customers in the petrochemical, marine and coatings fields and helps companies track data and compliance around inspection, maintenance and repair.
Since its founding, TruQC has raised capital from angel investors and high-net-worth individuals. Boyd said the company’s merger comes as it pursued capital from an investor that has familiarity with its industry. Jones Capital’s portfolio includes an array of businesses focused on industrial services and business technology.
“We had always been looking for someone that was connected to the industrial process industries. Someone who could contribute capital obviously, but also had connections in the markets in which we serve. We had been looking for that for a while,” Boyd said.
Boyd said the combination with Spot Tracker will make Tru an end-to-end provider of software for customers. Spot provides data management software for customers in the oil, power line and renewable energy sectors, with a focus on construction and installation.
“For us, it was a really good synergistic fit because they focused on construction and installation — the beginning of an asset’s life cycle whether it’s a boat, pipeline or rig. We focus on everything past construction and implementation like inspection, maintenance and repair,” Boyd said.
The combined company will have 67 employees, Boyd said. That includes 12 employees locally, with Tru having an office at 135 W. Adams St. in Kirkwood. Boyd said the merger helps bolster his firm’s sales operations, giving it the opportunity to expand its customer base.
“There’s really an opportunity to scale our sales team,” he said. “We’ve always had a great product. We’ve always been able to deliver really great solutions that work."
Boyd added, “We’ve had a 98% client retention rate, but we’ve lagged the ability to go fly the flag and really scale and grow the business with a dedicated sales team."
