Deals for disruptive technology firms support growth plans

By Gareth Iley, partner at Clearwater International

This month saw the region come to a temporary standstill, as heavy snow hit the Midlands. Schools were closed and commuters faced lengthy delays. However it did bring about the best of community spirit, as many people volunteered to help staff in vital areas such as the emergency services get to work. Unfortunately it’s not looking likely that the region will have a white Christmas.

Gareth Iley, partner at Clearwater International

Nottingham headquartered e-days, which was advised by Clearwater International, undertook a management buyout supported by Palatine Impact. The business, which provides cloud-based absence management software, plans to use the investment to significantly scale the business, whilst developing its specialist software platform.

Coventry-based retail SaaS provider PCMS also received a significant investment from private equity firm Inflexion. PCMS has over 140 blue-chip consumer clients including John Lewis, Walgreens and Arcadia. The business has offices in the US and Singapore and has ambitious plans to accelerate its international expansion.

Aston EyeTech, a specialist in high quality portable and digital eye tests, received an investment from Mercia Technologies plc. The business which is a spin out from Aston University, has big plans to disrupt the optometry market by combining traditional products with artificial intelligence.

It’s really positive to see three innovative technology businesses from the Midlands, with the ability to significantly disrupt their respective markets, being given a chance to move to the next phase of their respective growth stories.

Elsewhere the biggest deal of the month went to Kidderminster listed tile specialist Victoria plc, which acquired Spanish counterpart Keraben for c.250m. The business’s primary focus is international expansion – post-completion, with 50% of its earnings now coming from outside of the UK.

Another business that has strong international credentials hit the headlines this month, Coventry-based supply chain planning and ERP specialist Anisa, was acquired by the Sanderson Group. Anisa has offices in Singapore and Australia and serves large enterprise clients including Calidus, Infor and Microsoft. Sanderson was particularly attracted to the hosting and cloud delivery services of Anisa, and the acquisition will create a combined group with a turnover of over £30m.

2017 has been a strong year for Midlands-based businesses, with a number making or receiving significant investments, a demonstration of both the innovation and entrepreneurship in the region. We look forward to seeing the ongoing strength of the Midlands in 2018.

Finally, we wish you all a Merry Christmas and a prosperous New Year.