Fourth, a SaaS provider of labour, payroll, inventory and procurement systems for the restaurant/bar, hotel, contract catering and leisure markets, has acquired Adaco, a supplier of SaaS based purchasing and inventory control solutions to the hotel sector in the US and throughout the world.
With over 400 customers in 54 countries and a 27 year history, Adaco will continue to operate from its Connecticut base in the US, supported by the Fourth team in London, England. The Adaco office will become the operating base for Fourth USA.
Fourth and Adaco have strong product offerings in their respective markets and clear development roadmaps. With nearly 250 employees, the combined businesses will have access to more resources in development and customer support, across Europe and the US, as well as the financial support of ECI Partners, a private equity firm.
Ben Hood, Fourth chief executive, says: “We are delighted with this acquisition as it fits well with our international ambitions. I am excited that Sunil will be joining our senior management team and feel this will be a great opportunity for all Adaco employees. Adaco has a fantastic reputation for innovative solutions for the hotel sector and the synergies are considerable. We both share a deep commitment to providing business process efficiency, excellent ROI, and significant improvements in gross profit for our customers.”
Sunil Reddy, president of Adaco, says: “Fourth’s acquisition enables us to extend our global reach as part of a large, well-funded and ambitious organisation. I am looking forward to joining the Fourth Board in my on-going role as Adaco President and working closely with its management team. The culture and vision of Fourth and Adaco are very similar which is exciting.”
David Ewing, director at ECI Partners, Fourth’s private equity investor, says: “International expansion is a key part of the growth plan we are supporting at Fourth. Since our investment, Fourth has continued to perform strongly and we are pleased to support the Adaco acquisition with further funding.”
