A fast-growing Edinburgh technology business plans to create 50 jobs after securing a seven-figure funding package.
Hutchinson Networks has received a £2.2 million growth capital investment from funds advised by YFM Equity Partners, the private equity fund manager. It will enable the company to recruit an additional 50 tech staff over the next two years.
Hutchinson Networks can boast a rapidly expanding client base, including a major UK airport, an international consumer brand, several Fortune 100 companies and a global retail technology brand.
The firm employs 89 staff across the UK and can tap into a network of professionals around the globe. The business is projecting turnover of £11.5m this year, rising to £16.5m in 2019.
Founded in 2011 by chief executive Paul Hutchinson and chief operating officer Stephen Heslop, Hutchinson is said to have experienced “significant” revenue and profit growth in recent years.
The management team, including chief technology officer Stephen Hampton, was seeking growth capital to fund additional marketing and operational resources to accelerate international growth.
Heslop said: “The general move to cloud-based services across all industries continues to drive exceptional growth opportunities for us. We are very pleased to have YFM as investors; we liked the straightforward approach and their experience of supporting growing businesses.
“We will now focus on delivering our transformative technologies and expertise to clients in the UK and globally.”
Nigel Owens, investment director at YFM, said: “Hutchinson Networks has an outstanding reputation with its clients and its technology partners. The company has grown strongly due to the drive and energy of the management team.
“The plans for the business to scale both sales and employment while expanding their geographic footprint in a growing market fits perfectly into the portfolio of businesses in which we are investing.”
Hutchinson was advised by Paul Mason and Jonathan Griffiths of Chiene & Tait and Stuart Hendry of MBM Commercial. Legal advice to YFM was given by Murray Jack and Cristin Craig of Addleshaw Goddard, financial due diligence was carried out by Johnston Carmichael, commercial due diligence by Philip Carse of Megabuyte and organisational due diligence by Anna Cornwallis of Stratton HR.