Software Circle Secures £16.7m Loan for Expansion
Deal News | Dec 16, 2024 | EIN
Software Circle plc has secured a £16.7 million loan facility from Shawbrook to refine its capital structure and support future M&A initiatives. As a leader in the vertical market software domain, Software Circle has a history of strategic acquisitions, with seven acquisitions completed in the UK and Ireland. Initiated in 2022, their buy-and-build programme is designed to expand the company's portfolio and product range, assisting business owners with their exit strategies. Shawbrook's bespoke financial solution includes a commercial loan and an acquisition facility, supporting bond redemption and funding future acquisitions. CEO Gavin Cockerill emphasized the disciplined acquisition approach aligned with the company's cultural values, financial goals, and focus on maximising Operating Cash Flow Per Share. Legal guidance was provided by Pinsent Masons, and financial due diligence was conducted by MHA.
Sectors
- Vertical Market Software
- Financial Services
Geography
- United Kingdom – Software Circle plc and Shawbrook are both based in the UK, and the company's acquisitions are primarily within the UK and Ireland.
Industry
- Vertical Market Software – The industry focus of Software Circle plc which specializes in acquiring companies that develop software solutions for specific vertical markets.
- Financial Services – The involvement of Shawbrook Bank providing a financial loan facility highlights the relevance of the financial services sector.
Financials
- £16.7 million – The loan facility provided by Shawbrook to Software Circle plc.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Software Circle plc | Borrower, Target Company | Company | A vertical market software acquirer focusing on expanding through strategic acquisitions. |
| Shawbrook | Lender | Company | A bank providing a loan facility to Software Circle plc to support its M&A strategy. |
| Pinsent Masons | Legal Advisor | Company | A law firm that provided legal counsel for the loan arrangement. |
| MHA | Financial Due Diligence | Company | A company responsible for conducting financial due diligence for Shawbrook in this transaction. |
| Gavin Cockerill | CEO | Person | The Chief Executive Officer of Software Circle plc who commented on the acquisition strategy. |
| Tony Dean | Senior Director | Person | Senior director at Shawbrook involved in structuring the loan facility. |