RE: Rachel reeves military spending19 Jun 2025 07:25
RC Fornax Highlights
· Comprehensive Defence Solutions for Critical Platforms: RC Fornax defines and executes engineering design projects under statements of work ("SoW"). The Company specialises in supporting critical military platforms.
· Veteran-Founded, UK-Focused Excellence: RC Fornax is a proud, veteran-founded small-medium enterprise (SME) primarily focussed on supporting the UK defence industry.
· Transforming Delivery with Outcome-Driven SoW: At the heart of RC Fornax's solutions is its ability to support customers in switching from traditional labour-based contracts into fully managed outcome-based services under SoW.
· A rapid growth, market-disruptive, solutions provider in the defence sector: The Company is profitable, having exhibited significant growth over the past four years, since inception. RC Fornax has grown revenues by 100% CAGR to FY24 and generated aggregate EBITDA of over £1.9 million.
· Supporting the UK Ministry of Defence ("MoD") Targets with Bespoke Solutions: RC Fornax has the ability to support the MoD's overarching commitments to maximise the integration of SMEs and shorten supply chains. The Board believes that positioning itself as an SME integrator will enable the Company to deliver higher value projects to customers and to contract directly with the MoD.
· IR35 Compliance and Managed Services: Leveraging a combination of internal knowledge and strategic partnerships, the Company addresses IR35 requirements effectively - a critical step which can be overlooked by other firms that lack the necessary insight or capacity to manage these regulatory intricacies. This enables both the client and project team to remain focused on project objectives.
· Trusted by Leading Defence Primes, Positioned for Continued Growth: RC Fornax has developed a blue chip customer base that has long term contractual/framework relationships and repeat business. Since inception, RC Fornax has engaged directly as a preferred supplier with 10 well-recognised blue chip defence businesses. The Company has won 22 new mandates since 1 September 2024 covering a range of critical defence projects with existing clients.
· Expansion into New Markets and Industries: While the defence industry customer base was the original target market, the Company expects to see its innovative and efficient business proposition adapt and grow in adjacent markets, resulting in greater efficiency and cost savings for more customers.
· The Future of Defence - Innovation and Technological Superiority: RC Fornax is committed to becoming a driving force behind the future of the UK defence sector. The Company intends to utilise approximately £2.2 million of the Placing's net proceeds for the development of an advanced artificial intelligence ("AI") tool, known as the Fornax Automatic Statement of work Generator (Project FAS-G), designed to streamline the creation of SoW.