From INSIDE BUSINESS By Sandra J. Pennecke

Ned Lilly, co-founder and CEO of xTuple, said the firm supports the Hampton Roads entrepreneurial scene. The Norfolk-based software firm was recently acquired by a larger company. (Courtesy / HANDOUT)

NORFOLK — xTuple means to grow and to increase exponentially.

The Norfolk-based software company, with primarily virtual operations now, has stayed true to its name.

On July 12, xTuple was acquired by the Rhode Island-based CAI Software LLC, owned by private equity firm Symphony Technology Group. The acquisition price was not disclosed.

Founded in 2001 as OpenMFG and rebranded in 2007, xTuple provides enterprise resource planning in manufacturing and distribution for small to mid-size businesses. The business was one of the first clients of the Hampton Roads Technology Incubator with early support and investment from 757 Angels.

xTuple co-founder and CEO Ned Lilly said he is happy to have a success story to share with the 757 entrepreneurial community. He and other company executives actively support the region’s startup community through a variety of programs including the Hampton Roads Technology Council, Downtown Norfolk Council, Hatch and Start Norfolk.

“They (CAI and STG) know enterprise software backward and forwards and I know they’ve looked at a lot of companies like us,” Lilly said, feeling validated that his team of 25 employees “built something of great value over the years.”

Brian Rigney, CEO of CAI, said the xTuple product is a good fit with its manufacturing customers and the company sees multiple opportunities to cross-sell its existing products to xTuple’s customer base.

CAI has offices in Maine and Michigan and about 150 employees across the U.S. and Canada.

Lilly said they will continue to operate under the xTuple name as a CAI company.

“We’re being rolled into the larger CAI business, so there is some departmental organization and cross-training happening,” Lilly said. “This was a good deal for xTuple customers and employees, and it’s also a very good result for our investors, many of whom are friends and family in the local area.”

Sandra J. Pennecke, 757-652-5836, sandra.pennecke@insidebiz.com