AI Recruitment Technologies (t/a Horsefly) secures investment from LDC
Horsefly, an artificial intelligence-based talent analytics platform, has secured a significant investment from leading private equity partner LDC as it targets international growth. The transaction marks a successful exit and strong return for Mercia.
Based in Merseyside with a presence in the US, Horsefly enables HR-decision making at international organisations including Coca Cola, EDF Energy, Manpower, Indeed, Jaguar Land Rover, The UK Home Office and Virgin Media. Its subscription-based Software as a Service (SaaS) platform gathers and aggregates granular, real-time data on labour markets from 60 countries, creating insight into business-critical issues such as global talent sourcing, onboarding, diversity and inclusion, rewards and benefit benchmarking, and workforce development and planning.
With Mercia’s support the business has achieved year-on-year growth since 2018 and doubled its revenues in the last financial year.
LDC is backing Founder and CEO, Will Crandle, to continue to grow the business organically, both in the UK and internationally, in a way that reinforces Horsefly’s people-focused culture. LDC’s investment was led by Jacob Leone and Camilla Greenwood [from LDC’s Manchester office]. Jacob and Camilla will both join the board alongside incoming Chair David Gilbertson who is an experienced non-executive director in the business intelligence sector.
Will Crandle, Founder and CEO of Horsefly, said:
“We are really proud of our growth in the last few years, and I’d like to thank Keith Jones, our seed investor, and Mercia not only for funding our early years but also for appointing my most crucial mentor as Chair, Rod Hyde, who helped our brilliant team establish Horsefly as a leading talent analytics platform.
“LDC’s experience in helping software businesses to successfully expand across the US is second-to-none, but I was also looking for a genuine partner and I’ve found that in LDC. I’m excited about working with Jacob, Camilla and the team to deliver on our ambitious growth plans.”
Jacob Leone, Investment Manager at LDC, said:
“Horsefly’s market-leading platform provides its clients with actionable insight to help them shape their workforce in an ever-changing global economy. The drive, passion and ambition of Will and his team is infectious – we can’t wait to help them continue their growth.”
Mercia invested in the business using funds from the North West Fund for Venture Capital. Will Clark of Mercia, who made the original investment in 2013, said:
“This deal marks the culmination of a ten-year partnership between Horsefly and Mercia. In recent years the business has been expanding rapidly and made significant inroads into the US market. Moving forward, LDC’s support will enable Will and the team to further strengthen its footprint in the US and take the business to the next level.”
LDC has a strong track record in supporting HR-related software businesses with human capital management solution business Talos 360 and recruitment solutions business Amberjack in its current portfolio. This follows successful partnerships which helped Mitrefinch doubled its revenues and expanded internationally, CIPHR invest in product development and Texthelp expand across the US.
Mercia was advised by Grant Thornton (corporate finance) and Slater Heelis (legal). Brabners provided legal advice to the North West Fund for Venture Capital.
LDC was advised by PwC (financial and tax due diligence), Squire Patton Boggs (legal) and Teneo (commercial due diligence).
ENDS
Created on behalf of LDC by Citypress.
For more information please contact:
Alastair Henry
+44 (0)161 235 0320
Mercia press contact:
Pauline Rawsterne
Turquoise PR
+44 (0) 780 163 9816
About LDC www.ldc.co.uk/pressrelease
- LDC is the private equity arm of Lloyds Banking Group and is authorised and regulated by the Financial Conduct Authority.
- LDC has committed to invest in at least 100 mid-market businesses over the next five years.
- LDC has a portfolio of 90 businesses across the UK, across a broad range of sectors including Construction & Property, Financial Services, Healthcare, Industrials, Retail & Consumer, TMT, Travel & Leisure and Support Services.
- LDC has a nationwide network of regional offices to provide a local presence to the businesses and communities it supports.
About Horsefly
A leading provider of talent analytics data, Horsefly gathers labor market intelligence from around the globe to quickly paint a real time picture of the talent market. Horsefly’s easy to use online platform empowers international organisations to make data driven strategic decisions by mapping talent supply & demand, finding hidden talent pools, providing ethnicity and gender benchmarks, and compensation averages. Horsefly’s Customer Success team works with customers every step of the way to identify clear ROIs and deliver upon them, leading to high levels of client satisfaction and loyalty to the platform. https://www.horseflyanalytics.com
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.£1.4 billion of assets under management and, since its IPO in December 2014, has invested c.£111million gross into its direct investment portfolio.
The Group raises its own Enterprise Investment Scheme (EIS) Funds and manages Venture Capital Trusts (VCTs) 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
