A text analytics platform is eyeing expanding its US operations after securing a £5m boost from an investor in cloud data unicorn Matillion.
Lancaster-headquartered Relative Insight will also use the funding from YFM Equity Partners to strengthen new product development.
The company also has offices in London and New York and its clients include Sky, Nespresso, Starbucks, General Mills, MetLife and Sony.
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Chief executive Ben Hookway said: "With an ever-increasing amount of data available to businesses, many are struggling to make sense of this valuable information.
"This can prove vital in understanding what is causing business outcomes, and what can be done to change them.
"Our platform is able to rapidly analyse millions of words and compare them across a range of variables to highlight the critical differences in consumer language, helping to explain market trends, customer behaviour and provide actionable insight including making communication more effective with target audiences.
"Having seen rapid growth over the last four years, the business is now embarking on the next stage of its journey as we expand in the US.
"We believe that YFM is the ideal partner to support us. As well as having an established track record scaling SaaS businesses, they have a real understanding of our market and are a great fit culturally - we like the team and are confident they will add real value."
YFM's previous investments include Go Outdoors and Harvey Jones Kitchens.
Dan Freed, partner at YFM, added: "Data and text analytics is a rapidly expanding market and one with huge potential given the ever-increasing demand for improved business intelligence, and customer insights.
"The Relative Insight platform is a compelling proposition helping companies to understand why things happen.
"The heritage of the business resonates with us, and we believe it is a best-in-class platform led by an experienced and very impressive management team."
The YFM team comprised Dan Freed, Laura Sisson and Ian Waterfield.
Eddie Harding, partner at ICON Corporate Finance, said: "We’re delighted to have advised Ben and the team on this transaction and were not surprised by the strong level of interest we received from investors.
"Relative Insight’s highly innovative AI-based text analytics software generates significant value for its clients, and the company is now at a very exciting stage in its growth plan.
"This funding from YFM will help Relative Insight to scale up its operations considerably, and in particular in the US where there is significant market potential."
Chris Waterhouse provided financial due diligence; commercial diligence was carried out by Luminii; technical diligence by Beyond M&A; management diligence by Stratton HR; tax diligence by DTE; and legal advice by Irwin Mitchell.
Relative Insight received legal advice from Simmons & Simmons, and the company’s existing institutional shareholders were advised by Ward Hadaway.
