REG - Duke Royalty Limited - Follow-On Investment into Existing Royalty Partner

Duke CapitalAnnouncement

21/02/2023 07:00

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RNS Number : 4971Q  Duke Royalty Limited  21 February 2023

21 February 2023

 

Duke Royalty Limited

 

("Duke Royalty" or "Duke")

 

Follow-On Investment into Existing Royalty Partner

Duke Royalty, a provider of alternative capital solutions to a diversified
range of profitable and long-established businesses in Europe and North
America, is pleased to announce a follow-on investment of £1.75 million into
its existing royalty partner, InTec Business Solutions Limited ("InTec"), to
fund its latest acquisition.

InTec is an investment holding company created to execute a buy and build
strategy of synergistic companies within the I.T. managed services sector in
the United Kingdom and Ireland.

Highlights:

 

·       Duke's investment will facilitate InTec's acquisition of Frog
IT Services Limited ("Frog IT"), a profitable specialist provider of IT
support and cloud-based services to small and medium sized customers, many of
whom have been customers for more than 10 years.

·       The financing increases Duke's total investment into InTec to
£20.0 million. The investment terms will remain the same as Duke's previous
follow-on investment into InTec, including the normal 6% annual adjustment
factor.

 

Neil Johnson, CEO of Duke Royalty, said:

"Frog IT is an exciting acquisition for InTec which underpins their continued
efforts to build on their core competencies, and it is pleasing to see the
group add additional scale in this regard."

Further information regarding Frog IT

 

Frog IT Services Limited, founded in 1993, is a provider of IT managed
services based in Cambridge, specialising in Microsoft stack products and VOIP
comms. Operating across a wide range of verticals, Frog IT's 11 employees
serve 92 customers across Cambridgeshire and the Southeast. Frog IT derives
around 70% of its revenue from Microsoft managed services and licences with
the remainder of revenue coming from other product and consultancy sales.
Loyalty of their client base can be seen from the length of relationships
where 8 out of the top 10 customers have been clients for over 5 years and 6
of these for over 10 years.

Duke Royalty Portfolio

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

 

 

***ENDS***

 

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

 

 Duke Royalty Limited     Neil Johnson / Charles Cannon Brookes / Hugo Evans  +44 (0) 1481 730 613

 Cenkos Securities plc    Stephen Keys / Callum Davidson / Michael Johnson    +44 (0) 207 397 8900

 (Nominated Adviser

 and Joint Broker)

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

 (Joint Broker)

 SEC Newgate (PR)         Elisabeth Cowell / Matthew Elliott                  +44 (0) 20 3757 6882 dukeroyalty@secnewgate.co.uk

 

About Duke Royalty

 

Duke Royalty Limited provides alternative capital solutions to a diversified
range of profitable and long-established businesses in Europe and abroad.
Duke Royalty's experienced team provide financing solutions to private
companies that are in need of capital but whose owners wish to maintain equity
control of their business. Duke Royalty's royalty investments are intended to
provide robust, stable, long term returns to its shareholders. Duke Royalty is
listed on the AIM market under the ticker DUKE and is headquartered
in Guernsey.

 

 

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