REG - Duke Capital - Follow-On Investment into Existing Capital Partner

Duke CapitalAnnouncement

03/04/2024 07:00

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RNS Number : 0607J  Duke Capital Limited  03 April 2024

3 April 2024

 

Duke Capital Limited

 

("Duke Capital", "Duke" or the "Company")

 

Follow-On Investment into New Path Fire and Security Limited

Duke Capital Limited (AIM: DUKE), a leading provider of hybrid capital
solutions for SME business owners in Europe and North America, is pleased to
announce a follow-on investment of £3.85 million into its existing capital
partner, New Path Fire and Security Limited ("New Path"). This investment will
enable New Path to complete two further acquisitions, in line with its
acquisitive growth strategy.

New Path is a buy-and-build platform in the fire and security sector,
primarily servicing SME clients in and around London and South of England. New
Path's operating subsidiaries are established businesses with strong
reputations in their local territories.

 

Highlights:

 

·       Duke's funds will facilitate New Path's acquisition of
Electrifire Ltd ("Electrifire") and VGI Management Ltd ("VGI"), both providers
of fire and security installation and maintenance services to commercial
customers

·       The financing increases Duke's total investment in New Path to
£10.75 million. The investment terms are the same as Duke's initial
investment into New Path, including a starting yield of 13.5% and a +/- 6%
annual revenue adjustment factor in respect of payments due

·    Duke has now supported five New Path acquisitions, with the company
now encompassing 12 subsidiaries. Following these acquisitions the enlarged
New Path Fire Group will have substantial operations across SE England and
London with more than 110 employees and a customer base numbering in excess of
6,300

 

Neil Johnson, CEO of Duke Capital, said:

 

"We are excited to once again be supporting New Path via the acquisition of
two new targets which are complementary to its existing portfolio. The two
acquisitions will add further scale to New Path's platform and create
additional efficiency in the provision of services to its client-base in
London and the South of England."

 

Further information regarding Electrifire

 

Founded in 2009, Electrifire is a Rochester-based provider of installation and
maintenance services focused on fire alarms, intruder alarms, access control
and CCTV systems, with commercial and office customers predominantly in
central London and the Kent area.

 

Further information regarding VGI

 

Founded in 2003, VGI is a provider of installation and maintenance services
focused on security (CCTV, alarms, access control and perimeter security),
electrical work (lighting, power and heating) and fire safety (fire alarm
systems and automatic smoke opening vents). The company focuses on servicing
the property management sector in South West London and Surrey and is run from
a commercial premise in Byfleet, England.

Duke Capital Portfolio

A full list of Duke's current partners is included for reference on the
Partners page of the Company's website: www.dukecapital.com/partners
(http://www.dukecapital.com/partners) .

 

 

***ENDS***

 

For further information, please visit www.dukecapital.com
(http://www.dukecapital.com) or contact:

 

 Duke Capital Limited                                                    Neil Johnson / Charles Cannon Brookes / Hugo Evans  +44 (0) 1481 231 816

 Cavendish Capital Markets Limited (Nominated Adviser and Joint Broker)  Stephen Keys / Callum Davidson / Michael Johnson    +44 (0) 207 220 0500

 Canaccord Genuity Limited                                               Adam James / Harry Rees                             +44 (0) 207 523 8000

 (Joint Broker)

 SEC Newgate (Financial Communications)                                  Elisabeth Cowell / Alice Cho / Matthew Elliott      + +44 (0) 20 3757 6882 dukecapital@secnewgate.co.uk

 

About Duke Capital

 

Duke is a leading provider of hybrid capital solutions for SME business owners
in Europe and North America, combining the best features of both equity and
debt.

 

Since 2017, Duke has provided unique long-term financing which eliminates
re-financing risk and necessity for a short-term exit by providing a unique
'corporate mortgage' while also aligning its returns to grow with the success
of the business.

 

Duke is focused on generating attractive risk-adjusted returns for
shareholders and has a track record of achieving this across market cycles.
Its three investment pillars are capital preservation, attractive dividend
yield, and to provide upside upon exits. Duke is listed on the AIM market
under the ticker DUKE and is headquartered in Guernsey.

 

 

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