Last checked at 28 Apr 2022 07:00
28 April 2022
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 £3.1 million into existing royalty partner, InTec Business Solutions Limited ("InTec"), to fund its latest 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 Astec Computing (UK) ("Astec"), a profitable I.T. managed services business with a 30 year trading history
· The financing increases Duke's total investment into InTec to £17.1 million. The terms are the same as Duke's previous follow-on investment into InTec, including the normal 6% annual revenue adjustment factor
· The acquisition fortifies a key existing competency for Intec, in its expertise of Microsoft technologies, as well as adding to InTec's growing roster of education customers
Neil Johnson, CEO of Duke Royalty, said:
"We are pleased that InTec continues to execute on their buy and build strategy with this bolt-on investment of a highly compatible I.T. services business. Intec invests in long-term profitable businesses with Astec benefitting from a long standing and loyal customer base that provides attractive recurring revenue characteristics."
Further information regarding Astec
Based in the South-East of England, Astec is a provider of I.T. managed services, with a focus on Microsoft technologies in the SME marketplace. Astec specialises in digital transformation, cloud migrations and integrated solutions, utilising its Microsoft relationship to deliver high quality services and serve a mix of customers across education, professional services and other verticals. Astec has demonstrated robust performance on managed services in particular, with 99% customer retention and high levels of contracted recurring revenue.
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 Julian Morse / Michael Johnson | +44 (0) 207 397 8900 |
Canaccord Genuity (Joint Broker)
| Adam James / Georgina McCooke | +44 (0) 207 523 8000 |
SEC Newgate (PR) | Elisabeth Cowell / Richard Bicknell / Max Richardson | +44 (0) 20 3757 6880 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.