CoScale taken over by American technology company New Relic

(12-10-2018) The Belgian technology company CoScale is taken over by its American competitor New Relic.

The American technology company New Relic is taking over the Ghent start-up CoScale. New Relic makes software that can analyze the data of apps. The acquisition amount is unknown. According to the data company PitchBook, CoScale was recently valued at 7.9 million dollars.

CoScale is a spin-off of Ghent University and was founded in 2013 by Stijn Polfliet and Frederick Ryckbosch, both engineers. During their doctoral studies, they developed software that allows websites to load faster. 'At CoScale we dream of a world where loading a webpage is never a source of annoyance', the founders said last year in De Tijd. Customers of CoScale are the telecom provider Telenet, the real estate site Immoweb and the gambling company Napoleon Games.

A year ago, it was clear that money was needed. In the annual report, the directors stated that there was 'an uncertainty of material significance with regard to the survival of the company'. CoScale is still loss-making. In 2017 there was 1.5 million euro loss of business. 

The sellers are the investment funds Gimv, Qbic and PMV. Microsoft also had a participation. The software giant supported Co-Scale via a start-up program. The owners organized two capital rounds in which 1.5 million euros and 2 million euros were raised.

Source: De Tijd