Melius Cyber Consultancy secures £350k Pre-Seed investment from Mercia

A  cybersecurity business which has developed an automated software that helps SMEs detect vulnerabilities in their IT system has raised £350,000 from the North East Venture Fund (NEVF), supported by the European Regional Development Fund and managed by Mercia.

Melius Cyber’s platform monitors an organisation’s IT network around the clock, testing security and protecting it from the latest threats. CyberSafe automates the process of vulnerability scanning and penetration testing, in which cyber experts simulate attacks to detect weaknesses in the system.

The platform was developed specifically for SMEs and aligns to Cyber Essentials, the government-backed accreditation scheme that shows businesses take cybersecurity seriously. It helps businesses to gain accreditation by showing they have monitoring in place and can meet the criteria.

The funding will enable the Newcastle-based company to boost its sales and marketing to expand its client base and to further develop the platform, including adapting it to meet the needs of financial services and other FCA-regulated firms. The company, which currently employs eight staff, is planning to create five new jobs in the next six months.

Melius Cyber was founded in 2019 by Dave McPherson, a former IT specialist with the Bank of England. The company is a spin-off from Melius Group, the Newcastle-based IT services business he founded seven years earlier.

Richard Brown, CEO of Melius, said: “Cybersecurity is a growing problem for businesses, particularly with the rise in home working, and it is no longer enough to rely on off-the-shelf solutions such as spam filters and firewalls. Big companies regularly stress test their network, but the cost is prohibitive for smaller firms.

“CyberSafe overcomes this problem by providing a 24/7, year-round service for the price of a one-off penetration test. The funding will enable us to roll out the system and help safeguard many more businesses.”

Ian Wilson, Fund Principal at Mercia, said: “CyberSafe fills a gap in the market for a product that provides security testing at a price that SMEs can afford. It not only helps them prevent attacks, but also to comply with recognised standards and provide reassurance for customers and suppliers. The investment will help Richard and the team to target the growing cybersecurity market.”

ENDS

Press contacts

Alison Dwyer

Head of Marketing & Communications

Mercia Asset Management PLC

+44 (0) 7464 480 137

[email protected] 

Pauline Rawsterne
PR Agent
Turquoise PR

+44 (0) 161 860 6063
+44 (0) 780 163 9816

[email protected]

About Mercia Asset Management PLC

Mercia is a proactive, specialist asset manager focused on supporting regional SMEs to achieve their growth aspirations. Mercia provides capital across its four asset classes of balance sheet, venture, private equity and debt capital: the Group’s ‘Complete Connected Capital’. The Group initially nurtures businesses via its third-party funds under management, then over time Mercia can provide further funding to the most promising companies, by deploying direct investment follow-on capital from its own balance sheet.

The Group has a strong UK footprint through its regional offices, 19 university partnerships and extensive personal networks, providing it with access to high-quality deal flow. Mercia currently has c.£800million of assets under management and, since its IPO in December 2014, has invested over £96million into its direct investment portfolio. Mercia Asset Management PLC is quoted on AIM with the epic “MERC”.

The Group raises its own Venture Capital Trusts (VCTs) and Enterprise Investment Scheme (EIS) Funds and details about open offers can be found through Mercia’s website.

Mercia Asset Management PLC is quoted on AIM with the epic “MERC” and includes the following wholly owned subsidiaries –

  • Mercia Fund Management Limited is authorised and regulated by the FCA under firm reference number 524856
  • Enterprise Ventures Limited is authorised and regulated by the FCA under firm reference number 183363
  • EV Business Loans Limited is authorised and regulated by the FCA under firm reference number 443560

www.mercia.co.uk

About The North East Fund

The North East Fund is a suite five venture capital and loan funds which was established in April 2018, to invest £120m in around 600 North East businesses in the period to March 2023.  The fund managers provide business development advice and investment finance to small and medium sized enterprises based in the seven Local Authority areas of North East England: Northumberland, North Tyneside, Newcastle, South Tyneside, Gateshead Sunderland and County Durham. The programme encourages investment in and the commercialisation of new technologies, including low carbon technologies, as well as stimulating new business creation, private investment and entrepreneurialism in the North East, with a view to creating over 2,500 new jobs.  The North East Fund has overall responsibility for the programme, which is delivered through five separate funds, each managed by independent, FCA regulated fund managers.  Details of these, and up to date information on the progress of the programme, is available on The North East Fund’s website: www.northeastfund.org

The North East Fund has been established with funding from the North East of England European Regional Development Fund programme, the European Investment Bank and from returns on previous North East based, publicly supported investment funds.  It is jointly owned by the seven North East local authorities

About the European Regional Development Fund

The North East Fund will receive up to £58,500,000 of funding from the England European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme 2014-2020.  The Ministry for Housing, Communities and Local Government is the Managing Authority for European Regional Development Fund.  Established by the European Union, the European Regional Development Fund helps local areas stimulate their economic development by investing in projects which will support innovation, businesses, create jobs and local community regenerations. For more information visit https://www.gov.uk/european-growth-funding.

About the European Investment Bank

The European Investment Bank (EIB) will lend up to £60,000,000 to the North East Fund programme.  The European Investment Bank is the long-term lending institution of the European Union owned by its Member States. It makes long-term finance available for sound investment in order to contribute towards EU policy goals.  For more information, visit: http://www.eib.org/about/index.htm

Pevini Peiris

Related post

This will close in 25 seconds