Ideagen Plc, a leading supplier of Information Management software to highly regulated industries, has today announced that it 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 company, which trades on the FTSE AIM (Alternative Investment Market).
Ideagen has pursued a very successful and aggressive growth strategy, with 19 acquisitions being made and fully integrated into the business to date. Despite the global pandemic, Ideagen has continued to perform well and recorded its 11th consecutive year of revenue and profit growth in October 2020. The half year trading update released in November 2020, shows that business in the first six months of this year has also been in line with expectations, despite the current climate.
This 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. Ideagen’s customers come from sectors such as healthcare, life sciences, manufacturing, aerospace & defence, financial services and aviation, which ensures the business is protected from events adversely affecting one industry sector.
The Board has pursued a strategy of growing the business both organically and via strategic acquisitions that will deliver increased global reach, additional sector expertise and contribute to the company’s recurring revenues. There are currently a number of opportunities that are being actively considered by the Board. 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 today 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. 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.”
The funds have been raised through the issue of 22.66m new Ordinary Shares, which equates to 9.9% of the company’s current issued share capital.