HgCapital has announced that it has partnered with the founder management of Relay Software Ltd. (“Relay”).
Relay is a leading provider of software to insurance brokers, underwriters and insurers in the Republic of Ireland. This transaction represents the third investment from HgCapital’s Mercury fund which specialises in investments in software and other technology companies across Europe. The terms of the transaction were not disclosed.
Relay was founded in 1985 and has since grown to become one of the leading software providers to the insurance industry in the Republic of Ireland. Relay’s highly capable and successful management team will continue to lead the business and guide the development of its technology solutions. With a skilled staff of 70 based in its offices in Belfast and Dublin, Relay provides the leading technology solution to insurance brokers: a seamless front and back office solution which, supported by Relay’s excellent customer service, provides its broker customers with the tools that they need to manage a successful insurance business. Additionally, the company also provides software solutions to many of the largest insurance and underwriting firms operating in the Republic of Ireland.
Relay displays a number of the attractive investment characteristics targeted by HgCapital, and leverages HgCapital’s deep-sector focus and experience in investing in the European SME software market. The investment follows on from HgCapital’s recent investments in Intelliflo (UK – cloud technology for financial advisors), e-conomic (Denmark – financial software for SMEs) and P&I (Germany – HR software), all in late 2013.
HgCapital’s investment will assist Relay’s management team in developing new products and services for all of its customers and will ensure that Relay continues to provide the most advanced and efficient technology solutions available. Management remain a substantial shareholder in the business alongside HgCapital and the company will continue to be headquartered in Belfast.
David Issott, of HgCapital’s Mercury Fund said:
“We are delighted to be partnering with all of the management and team at Relay. The company is a very successful technology leader in its segment and provides a first class service to its customers with a best in class product offering. We look forward to working with everyone at Relay to continue to build on the existing success of the business.”
Alastair Bell, Managing Director of Relay, said:
“We are very excited to be partnering with HgCapital for this next step in our company’s journey. Innovative new product development and ensuring we meet all of the needs of our customers with great products, backed by a strong service culture, have always been at the forefront of our strategy and has enabled us to deliver strong growth. HgCapital brings market insight, years of investment expertise and unparalleled knowledge of the technology and financial services sectors which we believe will help us continue to lead innovation in the sector for the benefit of all of our clients.”
HgCapital was advised on the transaction by Ernst & Young, with legal advice provided by Shearman & Sterling. Relay Software was advised on the transaction by Beltrae Partners, with legal advice provided by Tughans.