Ray Grainger, the founder and chief executive of Irvine project management software maker Mavenlink, says he will be taking on new market-facing and profile-raising duties now that his company has merged with a U.K. firm.
Mavenlink and Kimble Applications announced last month the closing of their merger led by Accel-KKR, a global technology-focused private equity firm.
Grainger will be the executive chairman of the combined firm, while industry veteran executive Michael Speranza has been brought on to be the CEO of the combined firm.
Mavenlink’s cloud-based software helps professional services organizations and other companies to streamline workflow. It allows services businesses and teams to improve their performance by tracking time and expenses, managing finances, tracking projects, and communicating with one another.
Some of Mavenlink’s key customers include digital transformation company Genpact (NYSE: G) in New York, full-service digital agency Huge Inc. in Brooklyn, and software company Qualtrics in Provo, Utah, and Seattle.
“My role will be market-facing, leveraging my three decades plus in the services industry, working with analysts who cover our industry, in terms of elevating our profile in the industry on a global basis,” Grainger told the Business Journal on Dec. 17.
As chairman, he will also put the company’s new board together and manage its affairs.
Grainger said his quest for more capital and growth led to the deal with Kimble in London and Accel-KKR.
Accel-KKR is the majority shareholder in the new company, while Grainger holds a minority stake.
Most Potential
“As I looked all the options available to the company, I felt that this one had the most potential for value creation and accelerated value creation,” Grainger said.
Existing Kimble and Mavenlink investors, including Carrick Capital Partners of Newport Beach and Goldman Sachs, will continue to be investors.
Mavenlink had raised $111.5 million in funding as of 2019 and was rumored to be an IPO candidate prior to the merger announcement.
Kimble Applications, built on the Salesforce platform, is a software provider in professional services automation (PSA) technology, focused exclusively on innovating features and easy-to-use functionality.
The merger joins two of the fastest growing technology players targeting what is called “the professional services vertical,” serving over 2,000 clients globally, the companies said in their merger announcement.
Speranza, the new CEO, was recruited from the outside to become the chief executive of the new company. He will be focused on “business integration” according to Grainger.
The company is seeking a brand strategy, possibly including a new name, a process that Grainger says should be settled no later than May 2002.
Company Integration
The two companies are scheduled to be integrated and operating as one by the end of March.
“Uniting two market leaders that offer unique and complementary capabilities will enable us to accelerate our efforts to build the best cloud-based solutions for professional services organizations,” said Speranza.
Local operations will keep growing after the deal. About 200 workers are in OC, and more are expected to be hired here in the coming years.
Grainger said that “for a long period of time the center of gravity will still be Irvine.”
“I wouldn’t expect a headquarters change, or anything like that.”
He emphasizes the importance of the offices in London with more than 100 people there.
Mavenlink also lists offices in Boston, Salt Lake City, San Francisco, Melbourne in Australia and Cebu in the Philippines on its website.
Innovator, Best Places
Grainger won a Business Journal Innovator of the Year award in September 2019.
Mavenlink was listed No. 17 on the Business Journal’s 2021 list of the Best Places to Work in Orange County, while it came in at No. 15 among OC’s largest OC software companies by number of employees.
“Our growth rate remains at around 30%” on an annual basis, he said
The combined companies have about 600 employees globally, according to Grainger.
He foresees close to 1,000 worldwide, with about 350 in Irvine, within the next few years.
