Fourth Hospitality, the software supplier to pubs, restaurants and hotels, has acquired Adaco, the leading software supplier to the hotel sector in the US and throughout the world. Adaco, which has over 400 customers in 54 countries, will continue to operate from its Connecticut base in the US, supported by the Fourth team in London. The US business will adopt the Fourth name, while the founder of Adaco, Sunil Reddy, who will continue to lead the business in the US, will join the main board of Fourth. The combined group will have sales in excess of £23m. The deal is believed to be a good fit in terms of both group’s respective specialist sectors and existing software. Ben Hood, Fourth chief executive, said: “We are delighted with this acquisition as it fits well with our international ambitions. I am excited that Sunil will be joining our senior management team and feel this will be a great opportunity for all Adaco employees. Adaco has a fantastic reputation for innovative solutions for the hotel sector and the synergies are considerable. We both share a deep commitment to providing business process efficiency, excellent ROI, and significant improvements in gross profit for our customers.” David Ewing, director at ECI Partners, Fourth’s private equity investors, said: “International expansion is a key part of the growth plan we are supporting at Fourth. Since our investment, Fourth has continued to perform strongly and we are pleased to support the Adaco acquisition with further funding.”