DN Capital, Datanomic Management and other previous investors have acquired 3i’s shares and loans in Datanomic Ltd, a Cambridge, UK-based compliance screening and data management software solutions provider.
As the majority shareholder, DN Capital invested in Datanomic in August 2003 and has worked with the company to build its senior management team and develop its international growth strategy.
3i venture capital invested for a minority stake in the company in March 2005. Following a period of strong growth, 3i is now divesting its stake as part of its current strategic focus on later stage growth capital, mid market buyout and infrastructure investing.
Commenting on the transaction, Nenad Marovac, Founding Partner at DN Capital, said: “We are very happy to support the management-led buyout of Datanomic shares. The Datanomic team, led by Dr Jonathan Pell, has demonstrated tremendous performance, growing the business over 100% per annum for the past four years. Datanomic is in a great position and we are strong believers in their Governance, Risk & Compliance (GRC) software solutions, a sector poised for significant growth”.
Dr Jonathan Pell, CEO of Datanomic, added: “We’re extremely pleased with the acquisition of 3i’s stake in Datanomic. It enables the management team to have much greater input into the strategic direction of the business.
“The change in shareholder structure does not affect our commercial ambitions as we accelerate in to the next stage of our organisational growth and solution development.”
The investment reflects the management team’s confidence and commitment to the business, following a successful 2009 in which the company experienced triple digit growth, record sales, and expansion into the North American market through strategic partnerships.