A business at the forefront of developing components and systems for hybrid & electric vehicles receives significant backing.
Maven Capital Partners has led a £7 million investment in Northumberland based AVID Technology Group, a leader in the manufacture and design of components for electric and hybrid vehicles for an impressive blue-chip customer base.
The transaction was led by Maven’s Venture Capital Trusts (VCTs) together with the North East Development Capital Fund, supported by the European Regional Development Fund and managed by Maven, and from AVID’s existing shareholders NVM Private Equity and Downing Ventures. The funding will enable AVID to increase production volumes of its current component product range and enable the firm to invest in further development of class leading electric motors, power electronics and battery systems.
AVID specialises in the manufacture and development of powertrain components and propulsion systems for heavy-duty and highperformance electric and hybrid vehicles. Its product range includes constituent parts for battery systems, power electronics, thermal management systems and traction motors.
The electric and hybrid vehicle industry is undergoing significant growth as car, bus, truck and off-highway machinery manufacturers radically diversify their business models away from a single focus on internal combustion engines and shift to electrified powertrains in order to meet CO2 and air quality challenges. A number of Original Equipment Manufacturers (OEM) have announced ambitious plans for fully electrifying their product ranges with major announcements and product launches from BMW, Jaguar Land Rover, Mercedes, Porsche and Volvo Construction Equipment in the last few weeks alone.
Alongside newly launched initiatives, such as the Government’s ‘Road to Zero’ strategy, increased legislation which has been expanded to include heavy-duty vehicles, tougher exhaust emissions testing standards following the ‘dieselgate’ scandal, and the general changing in attitudes amongst the public towards electrification to reduce carbon emissions, have all contributed to the current strong market dynamics.
Jamie Fraser, Investment Manager at Maven, said: “Maven is delighted to lead the fundraising in AVID, one of the leaders in its field, developing a global reputation in electrification solutions for heavyduty and high-performance vehicles. With an increasing demand for automotive electronics and powertrain technology we are pleased to support the business as it extends its range of services and expands its research and manufacturing capabilities. AVID is addressing very real issues around energy consumption and exhaust emissions and we look forward to working with Ryan and the team to help deliver its sustainable transport strategy to provide cleaner air.”
Ryan Maughan, Managing Director at AVID Technology, added: “We are very pleased to welcome Maven as part of this latest investment round. AVID is experiencing unprecedented demand for its products and services and we are looking forward to delivering on this growth potential with the support of our new and existing investors.” The North East is home to some of the UK’s fastest growing, innovative private companies with impressive growth potential. Maven’s local team is actively seeking exciting businesses, based in the region, looking for funding to help achieve their growth plans.