RealPage® Acquires WhiteSky Communications
RealPage (NASDAQ: RP) has acquired WhiteSky Communications, enhancing its portfolio in the multifamily property management sector. WhiteSky specializes in providing managed communications services like bulk Internet and VOIP, allowing property owners to offer cost-effective, high-speed connectivity. The acquisition aligns with RealPage's CommunityConnect platform, expected to drive revenue synergies and improve customer experience. WhiteSky reported 50% annual revenue growth and serves over 48,000 units, positioning RealPage strongly in the burgeoning market for bulk Wi-Fi services.
- Acquisition of WhiteSky enhances RealPage's service offerings in bulk Internet and managed services.
- Expected post-acquisition revenue synergies by integrating WhiteSky services into CommunityConnect.
- WhiteSky's annual revenue growth of 50% indicates strong market presence.
- Integration of WhiteSky could face challenges affecting expected synergies.
- Potential economic conditions may impact information technology spending in the rental housing sector.
RealPage, Inc. (NASDAQ: RP), a leading global provider of software and data analytics to the real estate industry, today announced the acquisition of WhiteSky Communications, LLC. WhiteSky provides managed communications services, enabling multifamily, student and other properties to provide managed bulk Internet, video, voice-over-internet protocol (VOIP) phone, and Wi-Fi services. With WhiteSky, residents of these properties regularly pay significantly less for high-speed, secure, community-wide Internet that can be provisioned in minutes instead of days. In addition, the opportunities for owners and operators to reap larger revenue shares than typically offered by phone and cable companies make managed bulk Internet the preferred choice for properties seeking to upgrade their resident service.
WhiteSky is widely regarded for its ability to deliver highly-reliable managed bulk Internet service quickly and at a low cost with speeds up to 1GB. The company scales through its nationwide network and teams of support and installation technicians. The vast RealPage network, data center operations, and resident experience centers will complement the Whitesky offering, enabling quicker deployments, operational efficiencies, and an enhanced customer experience. At the end of 2020, WhiteSky served hundreds of properties totaling 48,000 units and 150,000 beds. Company annual revenue growth has been approximately
Steve Winn, CEO and Chairman of the Board at RealPage stated, “The acquisition of WhiteSky, a recognized and highly-respected managed service provider, positions RealPage to enter the surging market for multifamily property bulk Wi-Fi services as a key player. We expect to drive post-acquisition revenue synergies with the inclusion of WhiteSky services into CommunityConnect™, our one-stop-shop for smart buildings, smart access, and purpose-built managed smart Wi-Fi, all controlled from a single resident App. We will continue to support our network of system integrators, local exchange carriers, and cable and installation partners, and offer the widest possible options for our customers, manufacturers of smart access, IoT devices, and Wi-Fi communication infrastructure.”
Cory White, Founder of WhiteSky Communications, said, “It’s so exciting to join the RealPage family for so many reasons. We share a passion for innovation that will drive further advances in the burgeoning multi-dwelling unit (MDU) market. Like RealPage, we consistently strive to go above and beyond to deliver optimal experiences for our clients and their residents. We look forward to our complementary products and managed services, further enabling CommunityConnect to provide ever greater value to our clients.”
When included in CommunityConnect, Smart Wi-Fi creates the opportunity for increased and improved support, speed to connection, reliability, and lower costs compared to traditional service providers. Additionally, CommunityConnect Smart Wi-Fi is uniquely designed for density to enable true Gigabit-speed uploads and downloads. CommunityConnect is multifamily’s premier fully-integrated smart building platform for connected living. Each module is best in class and purpose built by industry leaders for community-wide efficiencies and enablement. CommunityConnect enables its mobile application for residents and a single dashboard for operators, ensuring simple and efficient access to options and features.
About RealPage
RealPage provides a technology platform that enables real estate owners and managers to change how people experience and use rental space. Clients use the platform to gain transparency into asset performance, leverage data insights and monetize space to create incremental yields. Founded in 1998 and headquartered in Richardson, Texas, RealPage currently serves over 19 million units worldwide from offices in North America, Europe, and Asia. For more information about RealPage, please visit https://www.RealPage.com.
About WhiteSky Communications
WhiteSky Communications is an up-and-coming communications company that was established in 2005 as an Alabama-based ISP/MSO. Originally focusing on perfecting Internet in the multi-dwelling unit space, WhiteSky now offers voice-over-internet protocol (VOIP), video, and Internet services for MDU housing developments and businesses across the nation. WhiteSky provides all-inclusive, state of the art systems that cater to each client's specific needs. For more information about WhiteSky, please visit https://www.whitesky.us.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains “forward-looking” statements relating to the ability of the RealPage network, data center operations and resident experience centers to complement the WhiteSky offering enabling quicker deployments, operational efficiencies and an enhanced customer experience, expected post-acquisition revenue synergies with the inclusion of WhiteSky services into CommunityConnect™, the ability to drive further advances in the burgeoning multi-dwelling unit (MDU) market, and the ability of WhiteSky’s and RealPage’s complementary products and managed services to further enable CommunityConnect™ to provide ever greater value to our clients. These forward-looking statements are based on management's beliefs and assumptions and on information currently available to management. Forward-looking statements include all statements that are not historical facts and may be identified by terms such as “expects,” “believes,” “plans,” or similar expressions and the negatives of those terms. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Additional factors that could cause or contribute to such differences include, but are not limited to, the following: (a) the possibility that general economic conditions, including leasing velocity or uncertainty, could cause information technology spending, particularly in the rental housing industry, to be reduced or purchasing decisions to be delayed; (b) an increase in insurance claims; (c) an increase in client cancellations; (d) the inability to increase sales to existing clients and to attract new clients; (e) RealPage’s failure to integrate recent or future acquired businesses successfully or to achieve expected synergies including the acquisition of WhiteSky; (f) the timing and success of new product introductions by RealPage or its competitors; (g) changes in RealPage’s pricing policies or those of its competitors; (h) legal or regulatory proceedings; (i) the inability to achieve revenue growth or to enable margin expansion; (j) changes in RealPage’s estimates with respect to its long-term corporate tax rate or any other impact from the Tax Cuts and Jobs Act; and (k) such other risks and uncertainties described more fully in documents filed with or furnished to the Securities and Exchange Commission (“SEC”) by RealPage, including its Annual Report on Form 10-K previously filed with the SEC on March 2, 2020 and Form 10-Q filed on November 6, 2020. All information provided in this release is as of the date hereof and RealPage undertakes no duty to update this information except as required by law.
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