Here we feature the latest equity news in Welsh business
A tech firm that has developed online income and expenditure forms used by financial services providers, utility companies and consumers has relocated to Cardiff.
Start-up IE Hub firm’s relocated to the Welsh capital from Milton Keynes following the completion of a £1m fundraising round that has been led by a syndicate of business angels and Angels Invest Wales.
Founded by industry professionals, IE Hub's free online tool allows users to complete income and expenditure forms. It said its platform empowers individuals to take control of the information they share, streamlining the budgeting process and eliminating the need for lengthy phone conversations. IE Hub also features a benefit checker tool allows customers to determine eligibility for means-tested benefits and water social tariffs, improving affordability and financial well-being.
The funding will provide working capital to accelerate growth with further investment in technology, operations and marketing. Up to four new jobs are expected to be created.
Lead investor Eamon Tuhami said: “I’ve been extremely impressed with the ability of IE Hub to help and empower consumers who find themselves in difficult financial situations, while at the same time delivering an essential service to creditors. This perfect combination, linked with huge market potential make them a ‘fingood’ that I’m proud to back. “
Chief executive of IE Hub, Dylan Jones, said: “Throughout this funding round, it has become increasingly evident to the new investors that IE Hub brings such value to consumers facing debt problems and creditors that need a system to support complex customer situations. Our investors have total empathy with our mission to support those in debt and are aligned to being part of a unique solution to address the growing problem.
“In closing this round, I would like to call out a special thankyou to our existing investors that have continued to support us on this exciting journey, to Eamon Tuhami at Hwyl Ventures for his guidance with Angels Invest Wales and to the Development Bank for showing huge support for our purpose and growth in Wales. I also thank CMS Legal and Capital Law for their advice.”
Tom Preene, operations manager for Angels Invest Wales, said: “IE Hub is at the cutting-edge of fintech innovation and therefore an attractive proposition for investors who recognise the value of how this unique self-service platform is helping consumers to manage their debt with creditors while providing financial services providers with a robust solution that treats customers fairly and in line with regulatory requirements. As Wales’ biggest angel network, we’re pleased to be supporting Eamon as lead investor.
AGA
A North Wales architectural practice has been acquired by its employees.
Ainsley Gommon Architects (AGA), based in Hawarden in Flintshire with a office also in Birkenhead employs 20 people, who now wholly-owned the business through an employee ownership trust (EOT. )
The value of the deal has not been disclosed. AGA was founded as a partnership by David Ainsley and Peter Gommon in 1979, with Simon Venables becoming a partner in 1991 shortly after establishing the North Wales office.
The company was incorporated in 2001, with Mark French, Alf Plant, Paul Lester and Steve Geary becoming board directors. Mr Ainsley and Mr Gommon retired from the business in 2010.
AGA specialises in housing, education, and community projects, as well as building conservation and urban regeneration.
Its award winning work including the remodelling of Crown Buildings for Wrexham Council, restoration works at Birkenhead Priory Scheduled Monument, Deeside Sixth Form Centre, St Bernard’s Conversion and New Housing, Liverpool, as well as numerous private and affordable housing schemes across Wales and England.
Mr French said the directors had been looking for a long time at how best to plan for the future of the business, but the pandemic had delayed the process. He added: “We tried hard to facilitate a succession plan involving the phased sale of shares to senior staff, but this proved unaffordable. We didn’t want to sell the business outright to a third party, as we had seen other practices bought out by larger companies and closed down within a few years, which is not what we wanted for our staff, after more than 40 successful years.
“Then in October 2021, I attended a Royal Society of Architects webinar presented by Cwmpas where another practice explained their journey into employee ownership. It was a ‘lightbulb moment’, as employee ownership seemed to be perfectly aligned with our practice culture and values.”
He added: “I know a lot of companies say it, but we really do regard our colleagues at AGA as a family and want the best for each other, and EO encapsulates that ethos. We hope the fact we are employee owned will also appeal to new staff and make us stand out to those seeking to further their career in architecture.
“Employee ownership ensures a sustainable future for the company that enhances opportunities for all employees to develop their careers and for senior staff to progress to be future leaders of the practice without having to personally fund the purchase of shares.”
Follow the deal the Directors remain the same, except with the exception of Mr French, who has stood down from the board while remaining as a senior manager and principal architect.
Tom McEvoy, newly promoted to associate, said of the employee ownership transition: “It feels like a natural progression for us really. I joined AGA on my placement from university in 2005 and then got a job here when I qualified, so to now have a proper stake in the company is great. I am really looking forward to what the future holds at AGA.”
Arwyn Lloyd, new promoted to associate director, added: ‘’The EOT will ensure the business will be run in the best interests of the employees and gives staff a clearer understanding of the long-term future of practice. It will allow for greater employee engagement and reinforce the values-led office culture.”
AGA received support and advice on its employee ownership transition from Social Business Wales (SBW), delivered by Cwmpas.
Branwen Ellis, specialist employee ownership consultant for Cwmpas, said: “Employee ownership was the perfect solution for AGA, and to know that one of our events sparked the interest and transition is great to know. There is nothing like hearing first-hand experience of going through this kind of process to find out if it’s the right thing for you and your company.
“Congratulations to Ainsley Gommon Architects on its transition and we look forward to seeing the business go from strength to strength in the future.”
Advisers on the deal included Azets (tax) with legals also from Darwin Gray and Berry Smith.
Mr Venables said: “We recognise that completing the transaction is only the start of our employee ownership journey and we still have a lot to learn, but this is an exciting new era for the practice, and we look forward to a happy and successful future, working collaboratively with our clients and consultant partners.”
Gambit
Cardiff-based corporate advisory firm Gambit has made an influential list for the best firms acting in the merger and acquisition (M&A) market.
Consultancy UK , the online platform for the UK’s advisory and consultancy sector, assessed more than 300 firms based on the views of professional executives to gauge M&A capabilities, company reputations, analyst benchmarks and industry recognition of corporate advisory firms.
Of the assessed firms only 69 qualified as a ‘top player’ with Gambit Corporate Finance receiving a gold rating alongside international firms, DC Advisory, Kroll, McKinsey & Co, and major UK firms such as finncap Cavendish.
The Cardiff and London based practice, which is the oldest independent M&A boutique in the UK, celebrated its 31st anniversary last month, is the only indigenous corporate finance firm in Wales to received a gold rating and 22 in total.
Founder Partner, Frank Holmes said:“This is a fantastic tribute which we are happy to gratefully receive. It is testimony to the great team and the clients who trust our judgement and quality of service. This is the formula alongside a tenacious spirit which drives our business”.
Founded in 1992, Gambit has been involved in some of the biggest deals in Wales and the UK, involving fundraising, trade and private equity disposals, acquisitions for listed companies, and major management buy-outs.
The firm is the exclusive UK partner in Corporate Finance International (CFI) and has multi-national M&A cross-border capability and expertise and some 50% of its transactions are cross-border.
Partner, Geraint Rowe said: “External recognition by a peer group within our sector is very welcome. Gambit has global reach as part of CFI and this enables us to identify and connect with investors, buyers or acquisition targets in all major global economic territories”.
Mypinpad
One of Wales’ leading technology firms, Mypinpad, has been boosted with a £10m equity investment.
The funding round, led by fintech investment group Crossfin , will support the expansion of Mypinpad’s payments and authentication SaaS (software as a service) offerings, as well as technological advances and moves into new markets.
Crossfin has a portfolio of innovative emerging market companies. It said Mypinpad will further benefit from partnerships with other companies within Crossfin’s portfolio, many of which are engaged in areas closely associated with its activities.
The equity stake Crossfin now has in Mypinpad has not been disclosed.
Chief executive of Mypinpad Barry Levett said: “We are incredibly proud to have secured this investment, especially in the current difficult investment climate.
“It demonstrates market recognition of our value proposition, successful track record and the innovative solutions we offer. This investment will provide the necessary fuel to accelerate our growth, strengthen our global reach and potentially expand into new verticals.”
Dean Sparrow, chief executive and co-founder of Crossfin, said: “Barry and his team have built an innovative, scalable business that aligns well with Crossfin’s best-of-breed mobile point of sale and software point of sale payment solutions and related mobile payment security solutions, enabling us to extend our reach across emerging markets globally.”
Mypinpad has clients in 25 countries. It employs 75 globally with around 25 at its Cardiff headquarters located at Tramshed Tech.
