L-r: Richard Harrison, Sales Director and Managing Director Munzi Ali of CoreRFID
CoreRFID – the Skelmersdale-based company which is a leader in the design of electronic tracking systems - has completed a six-figure buy-out.
The deal provides an exit for its original investor, The Coalfields Enterprise Fund, managed by Mercia Fund Managers, and allows the management team to take full control of the business.
CoreRFID uses radio frequency identification(RFID) technology to track everything from plant and vehicles to product deliveries and legal files. The company, which employs nine people in the North West, serves an international client base including large corporates such as London Underground, ICL and BAE Systems, major supermarkets and law firms.
Mercia Fund Managers first backed the business at its launch in 2007 and has provided follow-on investment rounds to support its growth over the years.
CoreRFID’s three-strong management team – MD Munzi Ali, Sales Director Richard Harris, and Chairman Terry Allen - bought out part of Mercia’s stake in 2016 but have now acquired the remaining shares. The deal represents a 3.2 return on investment for Mercia.
Terry Allen, Chair of CoreRFID, said: “Setting up in business just before the credit crunch was not the most auspicious start and the first few years were tough. However Mercia supported us every step of the way, not only by providing funding but also practical advice and support.
“In recent years we have achieved a step change in the business and are now well placed to move forward as an independent. We already have a very strong presence in construction and manufacturing, and as advances in technology open up new opportunities in sectors such as professional services and entertainment, we are firmly focused on expansion.”
Paul Taberner, Investment Director with Mercia, added: “CoreRFID’s experience shows that tech start-ups need patient, long-term, investors like Mercia which can support them at each stage of their development. As the business is now firmly established, we wish the team all the best in exploiting the considerable opportunities ahead.”