Gryphon Investors Finalizes Strategic Sale of 3Cloud to Cognizant Technology Solutions
Gryphon Investors Completes Sale of 3Cloud to Cognizant
On January 2, 2026, Gryphon Investors, a prominent private investment firm focused on mid-market companies, announced the successful completion of the sale of its portfolio company, 3Cloud, to Cognizant Technology Solutions (NASDAQ: CTSH). This strategic sale marks a significant milestone for both Gryphon and 3Cloud, which has emerged as a leader in providing dedicated Microsoft Azure services.
Founded in 2016 and based in Chicago, Illinois, 3Cloud has been at the forefront of Microsoft Azure solutions, offering a range of services designed to enhance and optimize business operations. Known for its expertise in cloud-native AI application development and advanced analytics, 3Cloud has positioned itself as a go-to partner for businesses seeking to leverage the full potential of Azure. The company's track record includes a robust history of helping clients navigate and benefit from cloud technologies, making it one of the top Azure service providers globally.
In November 2025, Gryphon Investors initially announced the plans for this transition. Although the financial details of the transaction were kept under wraps, the sale is viewed as a strategic move to consolidate Cognizant's offerings in the increasingly competitive cloud services market.
Gabe Stephenson, a Deal Partner at Gryphon, expressed gratitude for the collaborative efforts of the 3Cloud team, highlighting CEO Mike Rocco and President Jim Dietrich for their leadership in driving the company's growth. Under Gryphon’s ownership since June 2020, 3Cloud experienced remarkable organic growth—over 20% annually—alongside completing multiple successful acquisitions, ultimately achieving a scale increase of approximately twelvefold.
The synergy between Gryphon and 3Cloud emphasizes the commitment to building a first-rate Azure services provider, with plans to continue this trend under Cognizant’s larger umbrella. The leadership from both companies views this as a pathway for further innovation and excellence.
Additionally, Cognizant's acquisition of 3Cloud is expected to boost its capabilities in terms of delivering cloud-based strategies, aiding clients in navigating the challenges posed by digital transformation.
For perspective, Gryphon Investors has accumulated over $10 billion in assets under management. Since establishing its operations, the firm has aimed to partner with companies that exhibit a competitive edge, particularly in sectors such as Healthcare, Consumer Services, and Technology Solutions. Gryphon’s comprehensive model integrates operational resources with investment strategies aimed at achieving both growth and stability.
3Cloud, recognized as a certified Microsoft Azure Expert Managed Services Provider, has made its mark with a diverse portfolio of offerings. The company combines seasoned cloud experts with robust relationships within Microsoft to deliver exceptional solutions to clients across various industries. It has garnered multiple accolades, including several Microsoft Partner of the Year Awards, reinforcing its status as a leader in technology consulting.
With this acquisition by Cognizant, 3Cloud is poised to enrich its service offerings and expand its reach within North America, which has been the firm's primary market and arena of influence. The leadership team anticipates that the transition will simplify the client experience while enhancing service delivery through greater access to resources and expertise.
As Gryphon Investors and 3Cloud embark on their next chapters following this transaction, industry observers remain optimistic about the continued growth and success of both entities. The union of Gryphon’s strategic investment approach and Cognizant’s extensive market reach promises an exciting future for cloud services innovations.
In conclusion, this acquisition signifies the relentless pursuit of excellence in technology solutions and underscores the dynamic nature of the cloud services industry, where partnerships between firms like Gryphon, 3Cloud, and Cognizant can lead to groundbreaking advancements and enhanced client experiences.