Our client, previously a 40-year-old business, is a leading supplier of software & hardware services into our GP practices. They provide all the check in, and call systems for patients as they come into their GP practice. There is also additional integration with GP patient records via a mobile app which offers huge potential in the years ahead.
We were approached specifically to bring investors to the table who could fund Newco, following a pre-pack of the historic business. Not surprisingly there was an urgency to the job at hand.
The business had suffered over the past few years, and the story was similar to many we’ve seen through 2024.
- Covid stopped the business in its tracks
- Too much debt was taken on to stay in business
- HMRC arrears were built up and repaying these and driving profit & growth was not sustainable
Having met the management & some of the shareholders, we were confident that the project would attract significant interest, and this proved to be the case.
We introduced eight different investment parties to our client within a fortnight of taking on the mandate. Two of these were trade players – software service providers in the healthcare sector, the others a mix of private investors and PE funds.
It became clear that two investors would be the best solution, one trade, one with corporate and a PE background. We were delighted to work with all parties towards a swift conclusion, with both investors joining the board.
Between them they have 40% of the new entity. Proving once again, that going through a formal process and needing new external funding does not always result in surrendering control of the business.
Our client comments…“Thanks Nick for all your help and support throughout this process. We were delighted with the quality of investors you introduced, and of course pleased to agree terms and conclude the investment so quickly. I have no hesitation in recommending your firm to others who are seeking experienced investors into their organisations.”
Nick Young comments…“This was a particularly enjoyable project to work on. Management were always responsive and professional in their dealings with investors we introduced. Terms were quickly negotiated and from start to finish the whole investment process took just six weeks and that included all of August!”
