Megabuyte - Technology sector intelligence

After recently selling several non-core assets (Premium Plus readers see here for the latest), Redstone has turned buyer, acquiring Fujin Systems for up to £2.9m, or an estimated 7.3x full taxed PE. Fujin adds specialism in Ethernet and other data centre related services, and the price seems reasonable and appropriately structured given Fujin’s apparent rapid growth. Read our first thoughts in the deal in Newswire Plus.

Anite’s strong first half; maintains full year expectations

Following on from the upbeat IMS from wireless testing peer Spirent (Premium Plus readers see here), Anite has announced that its first half to end October has also been above expectations due to a number of deals closing earlier than expected. However, given the relatively stable nature of the pipeline, the company is maintaining its expectations for the full year, though the probability of a change in full year expectations is probably on the upside in our view.

Neverfail – business continuity software specialist

We initiate coverage this morning on Neverfail Group (formerly known as Global Continuity). Having established the business in 1993 as an IT consulting firm providing business continuity strategies, in order to tap the growing business continuity software market, the company gradually shifted over to a software model. In 2002, the company disposed of its consulting business and positioned itself as a pure play software vendor.  To support its growth strategy, the company brought in funds from venture capital firms including Fidelity Ventures and Advent Venture Partners and, by 2006, total funds raised were $40m. In 2007, the company made a strategic change at its top management by appointing Peter Parker as a new CEO, replacing Neil Robertson, and Darren Taylor as a new CFO.

Inmarsat’s better Q3

Inmarsat has reported on a relatively strong Q3, with total revenues up 18.8% at $309m. Revenue growth was boosted by a first time $9.8m from the recent LightSquared US spectrum agreement (Premium Plus readers see here), and c$20m from the January 2010 Seqovia acquisition.  The core Maritime and Land segments grew 2.8% and fell 7.2% respectively, though both were up more strongly on Q2. Read the full story in Newswire Plus.

Azini it takes on Apax VC portfolio

We were very interested to read this morning in the FT that Azini Capital has completed a deal to take over the early stage portfolio of Apax Partners, most of which are TMT companies. Founded in 2007, and still a relatively unknown player in the market, Azini has an interesting model as it invests in both private and public companies. The existing fund was a substantial investor in Portrait Software up to its recent acquisition by Pitney Bowes and is currently sitting on a nice profit on its 29% holding in Focus Solutions. Azini is funding the acquisition and future funding requirements of the portfolio companies with a $100m from Lexington Capital who were also one of the main backers, along with Greenpark Capital, of Azini’s first independent fund.