aXenic, a leading manufacturer of advanced optical modulators used in satellite communications, has secured a £500,000 investment to support its continued growth following global demand for its technology.
The funding includes £250,000 from NPIF II – Maven Equity Finance as part of the British Business Bank’s Northern Powerhouse Investment Fund II and £250,000 from the Finance Durham Fund established by Durham County Council and overseen by Business Durham, both managed by Maven Capital Partners.
Based at the North East Technology Park (NETPark) in Durham since its spin-out from a NASDAQ-listed components manufacturer in 2015, aXenic has seen strong demand for its technology grow to the point where its current facility has reached full capacity. The capital injection will allow the business to scale its infrastructure and operations, embark on a recruitment drive and allow aXenic to invest in equipment and stock to meet growing demand from new and existing customers as it expands its reach.
aXenic develops and supplies complex electronic components that enable high-speed optical communication in space. Its technology is used in Low Earth Orbit (LEO) satellite constellations and aerospace applications, with current customers including major European satellite and aerospace manufacturers as well as international space agencies and emerging players in the global satellite communications market.
Stephen Clements, CEO at aXenic, said: “Working closely with our wide range of satellite customers, aXenic has been able to build a global reputation for its unique technology, built on decades of world leading engineering expertise within the company. Having reached the point where capacity, equipment and working space is limiting our ability to grow further, we are delighted to have closed this finance round with Maven to support our next stage of growth in the optical satellite communication market. We are seeing huge demand for our strategically important devices and this funding provides scope for us to grow, along with the emerging market for the use of optics in space, to bring the equivalent improvement in bandwidth that fibre-optics has brought to the terrestrial communication market.”
Michael Dickens, Investment Manager at Maven, said: “aXenic has developed a globally competitive product with clear relevance to the fast-growing satellite communications market. With impressive traction across leading satellite and aerospace players, and a base at one of the UK’s leading science parks, the business is well positioned to capitalise on the rapid expansion of space-based connectivity. We’re pleased to support Stephen and the team as they enter this next phase of growth.”
Cllr Joe Quinn, Durham County Council cabinet member for Resources, Investments and Assets, said: “It’s fantastic to see Finance Durham supporting aXenic in their continued growth at NETPark, one of our county’s priority innovation sites. Their expansion reflects our ambition to supercharge County Durham’s economy by backing pioneering companies, creating high-quality jobs, and strengthening our reputation as the best place in the North East to do business. By fostering the success of businesses like aXenic, we’re not only supporting enterprise today but also helping to deliver the skills, opportunities, and investment that will drive our economy forward for years to come.”
Sarah Newbould, Senior Investment Manager at the British Business Bank said: “We are proud to support aXenic as it continues to grow and innovate from its base in the North East. This investment will help strengthen the region’s reputation as a hub for advanced technology and create new opportunities in the local economy. It’s exactly the type of ambitious business we want to see thrive through the Northern Powerhouse Investment Fund, and we wish the team every success as they scale up.”
Maven is one of the UK’s most active private equity investors and has a track record of identifying and nurturing technology-driven businesses. If you are looking at private equity as a solution to fund future growth we would love to hear from you. Find out more at mavencp.com