DTS Today – DTS is the market leader in storage optimization software with over 1,000 blue-chip clients globally. DTS software is mission-critical to the functioning of the world’s largest companies as it enables efficient and effective storage management on a daily basis. For example, DTS software enables Bank of America to fully account for all customer deposits/withdrawals, Vanguard to efficiently calculate all portfolio trades, and Visa to ensure credits/debits are effectively reconciled.
The Beginning – Don and Tom met while studying computer science at Clemson University. After graduation, they founded, successfully built, and sold their first software company. Then they founded their second company, DTS, initially called Don and Tom Software, in Raleigh, North Carolina. They started DTS to take on 3 big software incumbents in software storage with what Don and Tom thought was a better algorithm to maximize storage capacity and minimize errors – it worked.
Transaction Reason – After 20+ years of building a successful business with a strong culture, global customer base, and leading products, Don and Tom were thinking about retirement. However, they really wanted to retain what they had built by finding a partner for their business who would maintain their DNA post transition.
Why Norland – Don and Tom decided not to sell to strategics or typical PE funds and instead chose Norland due to their belief that Norland would be the right home for their business, employees, customers, products, and brand given Norland’s long-term capital and differentiated approach. Norland acquired 100% of DTS and Don and Tom retired.
Since Norland’s Investment – Tara, who was head of sales and a very capable #2 to Don and Tom for several years, was promoted to CEO at the time of closing the investment. She and Norland have worked together to further the growth of DTS: built the senior management team, doubled product development headcount, improved systems and infrastructure, revamped sales & marketing, and launched several new products, enabling DTS to address new areas.
Future – DTS is growing subscription revenues at >20% annually and is expanding internationally and into adjacent product areas.
For more info, visit https://www.dtssoftware.com/.