MBM Commercial's corporate team were delighted to assist Quorum Cyber in its latest funding round, which saw new investment from London-based private equity business, Livingbridge. The deal also allowed Glasgow-based private equity firm Maven Capital Partners to realise its existing investment in Quorum Cyber with an overall money multiple return of 6.5x for Maven's venture capital trust (VCT) shareholders, inclusive of a retained minority holding in the business.
Quorum Cyber provides managed security services for a range of enterprises, including banks, cloud providers and major brands. Since the Maven VCTs first invested in Quorum in 2020, the business has increased both annual recurring revenues and headcount fourfold, entered the US market and made several senior hires, including the appointment of a chairman and finance director.
Commenting on the investment, Matthew Jacobs at Livingbridge, said: “Quorum Cyber has a very strong reputation offering best-in-class solutions to its clients. Federico Charosky is an inspirational leader with deep industry expertise, and we look forward to working closely with him and the management team to fulfil the company’s potential. With the pandemic further highlighting the need for cybersecurity solutions, there is a tremendous opportunity for the company to accelerate its growth trajectory.”
The deal builds on Livingbridge’s recent track record in the cybersecurity industry, which includes investments in organisations including TitanHQ and Adarma.
Federico Charosky, Founder and CEO of Quorum Cyber, said: “This event represents a significant milestone in the story of Quorum Cyber. We are delighted to be entering the next chapter of our growth journey with Livingbridge, a partner with the experience and resources to help us achieve our vision of becoming one of the top 10 Microsoft Security partners worldwide.”
David Milroy, partner at Maven, said: “We are delighted to see the talented team at Quorum Cyber enter the next phase of their journey - they have demonstrated an ability to consistently win and service corporate clients across a variety of sectors and geographies, and in doing so have delivered significant recurring revenue growth. This exit demonstrates the ability of Maven’s UK wide investment team to identify high quality management teams and entrepreneurial businesses and support their growth plans through close and active portfolio management.”
Leading the deal team for MBM Commercial, Senior Partner, Stuart Hendry said “MBM is delighted to have represented Quorum Cyber on another key milestone transaction for shareholders and management. This milestone funding round from Livingbridge will enable the Company to accelerate its growth and expansion plans and take the business to a new level. As you would expect there was a good deal of complexity involving lots of moving parts and multiple parties to manage. We extend our thanks to all parties involved and their advisers in helping us to complete the deal in a very short timeline just before the Christmas break.”
Federico Charosky, added: “MBM have once again proven to be the best in the game. This investment deal simply would not have happened without Stuart Hendry and the team working countless hours to get this done. As a CEO, knowing you have the best legal team by your side is essential, and MBM have demonstrated time and time again they are able to perform to the highest standards in complex situations.”