Vysionics was formed by LDC in February 2010 to acquire Speed Check Services (“SCS”), the UK’s leading supplier of average speed camera systems.
In addition to providing £9 million of development capital to accelerate the expansion strategy of SCS, the private equity house has now funded Vysionics’ acquisition of CRS, a company which provides traffic surveillance systems including Automatic Number Plate Recognition (ANPR) software and hardware.
Its technology is used around the world by civil and criminal enforcement organisations to detect, classify and identify vehicles from camera-based images in all weather conditions and at night by using infrared technology.
Founded in 1981, CRS operates from a 7,000 sq ft facility in Wokingham where it employs 20 people. The deal with Vysionics provides a full exit for founder Bill Adaway who will continue to provide technical support on a consultancy basis.
The enlarged group of businesses will now continue to target new opportunities in the growing global traffic management market.
LDC’s support for both CRS and SCS highlights its wider UK strategy to further improve SMEs’ access to growth capital.
Earlier this year, LDC’s team in the South committed £100million over the next three years to back businesses requiring £10million of equity funding or less in the South West and South Wales, the Thames Valley and the Home Counties.
Ian Podmore, investment director at LDC, said: “This deal brings many strategic and operational benefits and is a significant step in the strategy to build a broader group with an enhanced technology and service offering.
“In addition to boosting the research and development capability, the acquisition of CRS provides a foothold in new growth areas of the market and boosts Vysionics’ ability to tender for larger contracts.
“It’s a perfect example of how LDC is deploying its capital and expertise to support SMEs which, with the right investment strategy, have the potential to grow rapidly into market leaders on a domestic and international stage.”
Paul Davey, chief executive of Vysionics, said: “We’ve partnered with CRS on a commercial and technical basis for many years, so this deal is a natural fit and provides the technical means and capacity to move the business to the next level of development.
“Since LDC’s investment, we’ve successfully increased the pace of organic growth and will now begin to maximise the value of this acquisition and drive value from the enlarged group.
“LDC’s backing has given us the strategic input, operational know-how and financial means needed to achieve our ambitious growth plans.”
ENDS - July 2010
For further information, please contact:
Martin Currie James Lloyd-Davies
Citypress Citypress
T. 0161 235 0310 T. 0161 235 0308
M. 07976 291532 M. 07782 135828
Advisors to LDC and Vysionics:
- Shoosmiths - Legal
- Ernst & Young - Tax
- Matt Eves - Advisory
Advisors to Vendor:
- Square Route Solutions Ltd - lead advisors to the vendor
- Callaghans - Legal