RALEIGH – VacoBuilt bought Kapok Digital in a deal finalized in September, the companies announced today.
Both firms are based in Raleigh.
VacoBuilt is a software and services provider that is backed by talent solutions firm Vaco, and Kapok Digital is a custom application development company.
The companies have been partners off and on throughout the last four years, Jake Shepherd, founder and senior managing director of VacoBuilt in an interview with WRAL TechWire.
“We have doubled every year since we started,” said Shepherd. “For us to keep up with demand, provide service for our clients,” said Shepherd, it made sense to look for a deal to acquire the company.
VacoBuilt built the vaccine portal for several states this year, Shepherd said, and linked those portals to the CDC website. Another project the company completed was the virtual red carpet for the Emmy’s Award Show, said Shepherd.
“VacoBuilt and Kapok Digital have been intertwined in software engineering delivery and core values since inception,” said Jake Shepherd, founder and senior managing director of VacoBuilt in a statement. “This is only a natural and welcome progression as we continue to grow VacoBuilt at the quality and innovation mindset that we expect from our teams.”
Kapok Digital was an employee-owned company, according to its LinkedIn profile and the firm’s clients include Coca-Cola, for which the company built the freestyle machine and its software, said Shepherd, and RelyMD and Mamava, according to its website
VacoBuilt noted in a statement that the acquisition will strengthen its position. The company is hiring for about 50 people during the rest of the calendar year, said Shepherd, with multiple positions based remotely.
Kapok Digital’s CEO Erik Burckart will become VacoBuilt’s CIO for advisory and strategic initiatives and J.M. Huret who served as chief engineering officer for Kapok Digital will become the head of software engineering at VacoBuilt, the company stated.
Financial terms of the deal were not disclosed. Shepherd did note that the deal was considered favorable for all parties.
Shepherd is also a board member for WRAL TechWire’s Triangle Startup Guide.
