NVM Private Equity has announced the sale of the Northern VCT鈥檚 stake in the media software company, Lineup Systems to US-based Chartbeat backed by Cuadrilla Capital delivering a聽money multiple of 8.1 times.
Lineup delivers innovative ad and subscription revenue management solutions, incorporating CRM, finance and self-service modules through its flagship Adpoint software.
They help some of the world鈥檚 most iconic media companies maximise revenues, reduce technology costs and streamline operational processes to drive performance.
Initially founded in London in 2009, the company used investment from NVM in 2011 to develop its suite of solutions, including expansion into the digital publishing market.
Over the period of their investment, NVM worked with the chair Ken Briddon to build a high-quality senior team that has helped make Lineup a global leader in its market.
Today the company has more than 100 staff in the UK and globally 鈥� it also works with partners across Europe, the Middle East and Asia Pacific.
It is well regarded in the media industry with global brands such as Gannett, The New York Times, News Corporation, Bauer Media, Singapore Press Holdings and Sky trusting Lineup鈥檚 software to help them maximise revenues and optimise operational performance to deliver better profits.
Under NVM鈥檚 ownership, revenues have grown at more than 25 per cent per annum since inception, under the watch of the CEO Chris Spalding and founder Michael Mendoza.
Together they and their team have been instrumental in developing the firm鈥檚 global footprint with some of the world鈥檚 leading media brands, adopting a highly successfully SaaS model.
More recently, they have developed a customer subscription solution, Amplio, that aims to help media companies nurture聽customer relationships and build loyal subscriber bases as an additional source of revenue.
Michael Mendoza, founder and chief innovation officer said: 鈥淟ineup was founded with the goal of supporting media companies to help strengthen their businesses as the media market changed.
鈥淲e valued the advice and support of NVM at every stage of the journey which has enabled Lineup to accelerate our growth. In addition, NVM provided the investments required for Lineup to innovate and support the media market during major digital transformations.
鈥淭hroughout the growth of the business, the Lineup team worked closely with NVM and the board to achieve our goals to grow the business and invest in the future of our business, the market, and most importantly our customers.鈥�
Chris Spalding, chief executive officer, said 鈥淚t has been a fantastic journey, we have been through some really challenging times and come out the other end really strongly.
鈥淭his is down to our great team, our great customers and the support and guidance we have had from our board, and the investment and trust of NVM.
鈥淲e have made Lineup a solid growth engine, cash generative and profitable with a sustainable SaaS business model.鈥�
James Arrowsmith (pictured), investment partner said 鈥淭oday鈥檚 8.1x sale is an excellent result for both NVM鈥檚 investors and the management team at Lineup.
鈥淯nder the leadership of Michael and Chris the team has聽built a world class business which is a global leader in its market.
鈥淭he acquisition by Chartbeat represents the next exciting chapter in Lineup鈥檚 development and we have no doubt that they will continue to maintain their market leading position and grow strongly as part of the Chartbeat family.
鈥淚 would like to personally thank Michael, Chris and the rest of their team for all their efforts during the period of our聽investment.
鈥淭hey have been great to work alongside and have been pivotal in delivering the excellent outcome that we have announced today. I wish them every success for the future.鈥�
Advisors to NVM on the sale were: Corporate finance: Pagemill Partners 鈥� Rory O鈥橲ullivan, Mihail Ivanov and Lukas Heinz; Legal: DLA 鈥� Jonathan Watkins and Alexandra Keane.