Tech firm Codestone set for growth with backing from Shawbrook Bank and FPE Capital
Multi-award winning provider of business applications and cloud services, Codestone, poised for growth with funding from specialist lender Shawbrook.
Headquartered in Poole, Dorset, with offices in London and Cheshire, the technology implementation and services business was founded in 1997 by Jeremy Bucknell, CEO, and Dan Hobson, CCO.
The funding from Shawbrook follows backing from FPE Capital (‘FPE’) in March 2021, the first outside investment the business had received since its launch in 1997.
FPE, the software & services focused lower mid-market growth investor, partnered with the management team of Codestone to help the business expand through both organic growth and future acquisitions.
Shawbrook’s Financial Sponsors team has now supported Codestone with a bespoke unitranche facility, providing the business with the financial capacity to pursue significant acquisitions and to continue investing in strong organic growth.
Henry Sallitt, managing partner at FPE, said: “At FPE, we are focussed on partnering with fast growing software and services businesses in the lower mid-market and we were delighted to complete our investment into Codestone back in March of this year. We had been aware of the business for some time and moved quickly at the opportunity to partner with its award-winning team. We are delighted to be supporting Jeremy, Dan and the management team with their growth strategy in the coming years.
“Looking for a funding partner, the financial sponsors team at Shawbrook stepped forward and have proven themselves to be highly professional, experienced in working with mid-market sponsors and committed to certainty of delivery. The unitranche facility gives us and the management team at Codestone the funding capacity, flexibility and confidence to support future growth.”
Jeremy Bucknell, CEO at Codestone, said: “We’re delighted to have secured the backing of Shawbrook Bank which is a further endorsement of confidence in Codestone and our operating model. The solution that Shawbrook tailored for us, combined with their proactive and flexible approach, is just what we need to achieve our ambitious milestones. This unitranche financing will enable the Codestone management team to drive the business forward to realise our exciting organic and acquisitive plans. Most importantly, these plans will enable us to further enhance our position as leaders in our field and to bring even greater value to our customers.”
The business applications and cloud technology provider, focused on SAP and Microsoft technologies, operates across multiple sectors including wholesale & Distribution, professional services and manufacturing. A serial winner at SAP’s annual channel awards, mostly recently awarded a record four awards in February 2021 including Best Performance in EMEA North (Business One & Business ByDesign), Codestone’s customers include Virgin Management Ltd, Graff Diamonds and Pinewood Studios.
James Salmon, director at Shawbrook said: “We’re backing an impressive founder-led management team responsible for having built a serial award-winning technology business. With an impressive client roster, exposure to multiple sectors and the ability to attract top talent into the business, Codestone is now set for further success with the backing of FPE. With their dedication to software and software services investing in the lower mid-market, we could not think of a better partner for management than FPE. Shawbrook are delighted to support this transaction, with our funding to play a part in the next phase of Codestone’s journey.”
Shawbrook were advised on the transaction by Travers Smith LLP and Spectrum Corporate Finance provided debt advisory services to FPE Capital and Codestone.
