Listed investment firm IP Group has made a play from the Finance for Business North East Technology Fund, a pot it manages.
Reverse engineering company Pinnacle Re-Tec has netted a six-figure investment from the Finance for Business North East Technology Fund so that it can service contracts in the Middle East and Africa.
The business, which is based in Country Durham, is able to reverse engineer parts and assemblies by original equipment manufacturers (OEM).
Pinnacle Re-Tec says that the backing from fund manager IP Group will be used as working capital to enable the manufacturer to increase capacity at its North East base to satisfy larger contracts.
Toby Heintz, managing director at Pinnacle Re-Tec, says that it can often be very costly for users of large industrial pumps to go back to the OEM for a spare part.
He adds, ‘As such, we developed the idea of an independent measuring service that relies on a mix of modem and traditional technology to re-engineer and manufacture parts, with the added capability of identifying and addressing any weaknesses in the original design.’
More on deals by IP Group:
- Magnomatics gets IP Group and Fusion IP as backers
- Spin-out business Glythera secures IP Group support
- Fund backs two North East businesses
Pinnacle Re-Tec’s investment has come from the £25 million Finance for Business North East Technology Fund. The fund backs businesses which are based in, or are willing to relocate to, the North East of England.
Fund manager IP Group is an intellectual property commercialisation company, which listed on the Alternative Investment Market in 2003, before moving to the Official List in 2006.
IP Group investment manager Ian Wilson comments, ‘As a company carrying out skilled engineering and manufacturing in the region, Pinnacle Re-Tec is a great example of the kind of business we work hard to attract and invest in.
‘It has ambitious growth plans, a strong management team and proven customer base, as well as established revenue streams.’