Christchurch-based software startup Appsecute has caught the eye of Canadian cloud company ActiveState, which has acquired the three-strong team for an undisclosed sum and along with it the company's intellectual property.
Founded by Kiwi pair Mark Cox (chief executive) and Tyler Power (chief technology officer) only a year ago, Appsecute provides cloud monitoring tools for developers and enterprise customers. Its main selling point is the ability to connect across multiple technology frameworks to track bugs and assign issues, using a Facebook-style social dashboard.
For more on the latest deals in NZ's startup sector, sign up to the Idealog Tech newsletter
With the acquisition, ActiveState will incorporate the dashboarding features into its own platform-as-a-service (PaaS) product called Stackato.
Co-founder Cox says the support and structure of a larger company will give Appsecute more room to innovate.
"It will allow us to achieve what we set out to achieve, which is bringing developers and operations together and provide an efficient lifecycle management system for the cloud. We're now in a better position to do that as a part of being in a bigger company," Cox says to Idealog.
the relationship with ActiveState has been in the works since last year, when the two companies were introduced through Appsecute board member,investor and technology analyst Ben Kepes.
"The discussions started getting serious about six weeks ago and we've been working since then to get it over the line," says Cox.
While Appsecute will be absorbed by the ActiveState umbrella company, Cox says Appsecute will maintain its development hub in Christchurch for the foreseeable future.
"It's something we [Appsecute and ActiveState] both wanted. We're going to live in New Zealand and visit the ActiveState headquarters regularly. It suits us and also provides ActiveState with better customer support in the Asia Pacific region," he says.
Coz says it's too early to tell if the acquisition will come with an increase in staff numbers in New Zealand. He says it's unlikely at this point as ActiveState already has a large network of developers, but it isn't something he's ruling out all together.
Idealog has been covering the most interesting people, businesses and issues from the fields of innovation, design, technology and urban development for over 12 years. And we're asking for your support so we can keep telling those stories, inspire more entrepreneurs to start their own businesses and keep pushing New Zealand forward. Give over $5 a month and you will not only be supporting New Zealand innovation, but you’ll also receive a print subscription and a copy of the new book by David Downs and Dr. Michelle Dickinson, No. 8 Recharged (while stocks last).
Idealog is part of ICG. We work with clients like Woolworths New Zealand, All Good, Huffer, Liquorland, Resene, Citta Design, TVNZ, Spark and FCB on their event activations, in-store, in-office or out-of-home signage, content creation and vehicle wraps.