Business
Follow-On Investment into Existing Royalty Partner
Follow-On Investment into Existing Royalty Partner.
About this update from Duke Capital Limited
[{"type":"text","content":"\n\n20 July 2023\n \nDuke Royalty Limited\n \n(\"Duke Royalty\" or \"Duke\")\n \nFollow-On Investment into Existing Royalty Partner\n\nDuke 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.\nInTec 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.\nHighlights:\n \n· 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.\n· 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.\n \nNeil Johnson, CEO of Duke Royalty, said:\n\"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.\"\nFurther information regarding Sweethaven\n \nEstablished 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 pro...