For the executive team at Aquicore, now is the time to grow by acquisition.
The D.C.-based real estate software company has absorbed analytics firm Entic for undisclosed terms as it looks to consolidate the property tech industry.
Entic, backed by real estate giant Blackstone, makes an analytics platform that recommends ways to optimize utilities and facilities for commercial assets.
Founded in 2012, Aquicore has a tech platform that allows commercial real estate stakeholders like executives, property managers and building engineers track building factors in real time. Its network, made of self-installable IoT sensors, is deployed at more than 700 office buildings nationwide, including the National Press Building and The World Bank in D.C.
"One of the keys reason we though this would be a good opportunity is because both companies offer complementary services," founder and CEO Logan Soya told the WBJ. "The market out there is fragmented and that’s part of the reason we’re excited about this."
Entic’s prescriptive analytics and recommendations will move onto Aquicore’s platform, adding capabilities in utility budget tracking and tenant billing tools. It will also add Florida, Massachusetts and California offices to its footprint.
The deal also marks Aquicore's first foray into the hospitality market – part of an effort to become a complete-portfolio solution for the industry's biggest players. One of the largest clients coming over is EQ Office, a Blackstone portfolio company that manages 50 million square feet of office space, including Chicago’s Willis Tower, the Hughes Center in Las Vegas and Park Avenue Tower in New York City.
Aquicore’s existing clients include Cushman & Wakefield, JBG Smith, Lincoln Property Co., MRP Realty, Under Armour, Facebook and The World Bank.
The combined company will have products used across 250 million square feet of commercial real estate. It's also got a who's who of backers, including The Blackstone Group, ClearSky, Navitas Capital, Normandy Real Estate Partners and Fifth Wall Ventures.
Following the acquisition, Aquicore's workforce expands to 65 employees. Entic's staff (about 20) will remain in their current offices and founder Carlos Diaz will join Aquicore's executive team.
"Together, we will propel the proptech industry forward, giving the commercial real estate industry a powerful solution unlike any it’s ever seen," Soya said in a statement. "When experts look back at the evolution of this market, the combining of Aquicore and Entic will be a milestone.”
