The boss of an energy tech firm acquired by a US private equity firm for a reported 拢100m believes it can now become a unicorn company.
Matthew Hirst is the chief executive of Lancashire-based Utiligroup, which has been bought by Accel-KKR through its services company ESG.
More than 60 parties expressed an interest in investing in Utiligroup, whose software helps smaller utility companies compete with the so-called Big Six 鈥� British Gas, SSE, ScottishPower, EDF Energy, Eon and Npower.
It has also developed software to help with the rollout of smart meters, which the Government wants in every home by 2020 to help the public track their energy consumption.
In an exclusive interview with 老九品茶Cloud, Hirst said the deal would help the company achieve its target to grow to 500 staff and a 拢50m turnover in three years.
He said: 鈥淭hree years ago we did a management buy-out backed by NorthEdge Capital. We鈥檝e been looking for fresh investment during the last 12 months. We鈥檙e delighted we鈥檝e got one of the largest tech investors in the world – Accel-KKR聽– backing us for the next stage of our journey.
鈥淎t the time of the MBO we had 80 people in pretty tatty offices. We鈥檝e now got 250 people and have tripled our turnover. One of the crucial things we did was transition to a SaaS business model, where customers can pay us a subscription.鈥�
In total NorthEdge Capital invested 拢16m in Utiligroup after the initial buyout led by Hirst and COO Andrew Green. NorthEdge has rolled some of its shares into the new business as part of the deal.
鈥淭his shows the great faith they have in the team and the business,鈥� said Hirst, who has also has shares in the business. 鈥淚 love the business. I鈥檝e been it for 17 years since joining as a graduate. I鈥檝e worked my way through the ranks. I鈥檓 passionate about the business and the sector and I鈥檓 in it for the long-term.鈥�
Hirst said they鈥檇 received a lot of interest from private equity houses and trade buyers before choosing Accel-KKR, which he described as being 鈥渇antastic news鈥� for Lancashire.
鈥淥ur business plan is to get us to 500 people and 拢50m turnover in three years,鈥� he said. 鈥淭he majority of these jobs will be in the Lancashire area.鈥�
Hirst believes Utiligroup could become a unicorn business. 鈥淧eople talk about unicorns and we can certainly become a unicorn in valuation terms.鈥�