Last checked at 20 Jul 2023 07:00
20 July 2023
Duke Royalty Limited
("Duke Royalty" or "Duke")
Follow-On Investment into Existing Royalty Partner
Duke Royalty, a provider of alternative capital solutions to a diversified range of profitable and long-established businesses in Europe and North America, is pleased to announce a follow-on investment of £2.80 million into its existing royalty partner, InTec Business Solutions Limited ("InTec"), to fund its latest acquisition as well as for the settlement of deferred consideration in relation to a previous acquisition.
InTec is an investment holding company created to execute a buy and build strategy of synergistic companies within the I.T. managed services sector in the United Kingdom and Ireland.
Highlights:
· Duke's investment will facilitate InTec's acquisition of Sweethaven Computers Limited ("Sweethaven"), a managed IT services provider to SMEs with a primary focus on securing long term relationships and contracts within the education sector.
· The financing increases Duke's total investment into InTec to £23.9 million. The investment terms will remain in line with Duke's previous follow-on investment into InTec, including the normal 6% annual adjustment factor.
Neil Johnson, CEO of Duke Royalty, said:
"The acquisition of Sweethaven marks an exciting step forward for InTec, as it bolsters the company's existing education-focused offering and expands our scale and credibility within the public education sector. There is a strong cultural fit between InTec and Sweethaven, and we look forward to seeing the positive impact that this new addition will have within the wider group."
Further information regarding Sweethaven
Established in 1977, Sweethaven provides managed IT services to SMEs with a primary focus on securing long term relationships and contracts within the education sector. Sweethaven is led by a highly capable senior team who have worked with the business for an extended period of time and won several industry awards. Education customers include primary schools, secondary schools and multi-academy trusts and the service agreements with these clients provide strong profit visibility via contracted recurring revenue. For FY23, recurring revenue streams contributed 70% of the gross profits reported in that year.
Duke Royalty Portfolio
A full list of Duke's current Royalty Partners is included for reference on the Partners page of our website: www.dukeroyalty.com/partners
***ENDS***
For further information, please visit www.dukeroyalty.com or contact:
Duke Royalty Limited | Neil Johnson / Charles Cannon Brookes / Hugo Evans
| +44 (0) 1481 730 613 |
Cenkos Securities plc (Nominated Adviser and Joint Broker)
| Stephen Keys / Callum Davidson / Michael Johnson
| +44 (0) 207 397 8900
|
Canaccord Genuity (Joint Broker)
| Adam James / Harry Rees | +44 (0) 207 523 8000 |
SEC Newgate (PR) | Elisabeth Cowell / Alice Cho / Matthew Elliott | +44 (0) 20 3757 6882 dukeroyalty@secnewgate.co.uk |
About Duke Royalty
Duke Royalty Limited provides alternative capital solutions to a diversified range of profitable and long-established businesses in Europe and abroad. Duke Royalty's experienced team provide financing solutions to private companies that are in need of capital but whose owners wish to maintain equity control of their business. Duke Royalty's royalty investments are intended to provide robust, stable, long term returns to its shareholders. Duke Royalty is listed on the AIM market under the ticker DUKE and is headquartered in Guernsey.