Ideagen raises nearly £50m to fund new acquisitions

software solutions

Despite the pandemic, Ideagen has recorded its 11th consecutive year of growth in October

Listed software solutions provider Ideagen plc has raised almost £50m in order to fund new acquisitions.

The £48.7m has been raised from new and existing institutional investors via the issue of new ordinary shares in the Nottingham-based company, which trades on the FTSE AIM (Alternative Investment Market).

Ideagen has pursued a successful and aggressive growth strategy, with 19 acquisitions being made and fully integrated into the business to date.

And despite the global pandemic, Ideagen has continued to perform well, recording its 11th consecutive year of revenue and profit growth in October 2020.

The half year trading update released last month shows that business in the first six months of this year has also been in line with expectations, despite the current climate.

The company says that its success has been down to the ‘decisive action’ taken by the board at the start of the outbreak, as well as the breadth of industries in which Ideagen operates which includes healthcare, life sciences, manufacturing, aerospace and defence as well as financial services and aviation.

The board – which has pursued a strategy of growing the business both organically and via strategic acquisitions – has announced that there are currently a number of opportunities that are being actively considered. This round of fundraising is in order to fund this acquisition pipeline.

CEO of Ideagen, Ben Dorks, said: I am thrilled to announce that we have hit our target of raising £48.7m. The ability to raise such substantial funds at a time like this clearly shows that the markets are as confident in our future performance as we are.

The acquisitions we have made to date have brought technology or intellectual property that enhances the functionality of our core solutions, increased our credibility and market presence, or offered opportunities for new market entry, he said.

Dorks said, we are excited by a number of potential acquisitions at present that we believe may fit that profile and deliver long term shareholder value. This funding will allow us to continue to pursue these potential targets.

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