The latest acquisition and equity investment deals in Wales

Cwmbran-based medtech venture Amotio has been boosted with a six-figure pre-seed funding round.

The £810,000 fundraise was led by with a £500,000 equity investment from the Development Bank of Wales.

Amotio will use the investment to advance technology that will support better post-operative care and recovery times for joint-surgery patients. It will also support Amotio with developing Amotio’s product research and development leading to pre-clinical testing and regulatory approval.

Amotio investment Iestyn Foster, Amotio and Dr Harry George, Development Bank of Wales.

Using methods pioneered by a team of surgeons and biomechanical engineers in Utrecht,

Amotio has developed a new medical device to remove surgical cement during hip operations. The development bank’s investment includes £350,000 from the Technology Seed Fund and £150,000 from the Wales Flexible Investment Fund.

Also supporting the investment round were specialist co-investors NLC Health Ventures with £210,000, and £100,000 from charity Orthopaedic Research ��Ƶ (OR��Ƶ). OR��Ƶ’s investment committee includes some of the country’s leading orthopaedic clinicians.

Patients undergoing joint surgery may need to have follow-on treatment, with an earlier prosthesis being replaced. To remove the older prosthesis, surgeons currently have to remove the surgical cement which holds it in place – a lengthy and often complex process. This is followed by periods of rehabilitation of up to 12 to 15 weeks before a patient’s joint becomes weight-bearing again.

Amotio’s prototype technology uses 3D-printing to create a state of the art, high precision surgical cutting device and guide technology, tailored to an individual’s joint. It can then be placed accurately in the joint, allowing for the safe and efficient removal of surgical cement, and lessening the risk of further damage.

Further investment as part of the latest round also came from NLC fund finance, OR��Ƶ, Angel Investors, the Innovate ��Ƶ Smart Grant and SMART Flexible Innovation Support via Business Wales.

Amotio’s product has applications for hip operations, but the company hope it will soon be applicable to all major joint surgeries, with the business aiming to target medical markets in the US, Europe and Asia-Pacific.

Iestyn Foster, chief execurive of Amotio, was brought on in 2024 to help the business take its product from concept to commercialisation.

He said: “It can be extremely difficult as a medtech start-up to attract initial early stage investment, but we found the development bank of Wales was a great fit for us. They understood our needs as a business and the impact our product could make, along with our ambitions for future growth.

“Importantly, the investment has enabled us to attract funding from NLC Health Ventures and OR��Ƶ as specialist venture capital funders. We have the advantage of being part of a strong medtech cluster in douth Wales, where we’ve been able to tap into the wider ecosystem. This coupled with the backing of our funding partners means that we now have an excellent platform to deliver on our growth strategy.”

Dr Harry George, assistant investment executive in the technology ventures investment team at the Development Bank of Wales, said: “Amotio’s technology has huge potential in orthopaedic treatment, cutting recovery times and improving surgeries for those in need of repeat joint operations.

"That they’re targeting wider applications and global markets is evidence of their confidence in their technology, and we look forward to seeing the product make the next round of evaluation and testing.

“Attracting private sector funding into Wales is a key tool for unlocking ambition and driving long-term sustainable growth, which is why we work hard to identify and nurture co-investment alongside specialist funders like NLC Health Ventures and OR��Ƶ.”

Kim High, venture partner and head of NLC’s orthoSpine business unit and Margarida Lopes, investment associate at NLC Health Ventures said: “This is exactly the type of healthcare innovation we aim to support through NLC’s Health Impact Fund.

“With roots in the Netherlands and Wales, this venture reflects the strength of Europe’s growing medtech ecosystem. We’re proud to partner with the Development Bank of Wales to help bring this technology to patients worldwide because we believe it is positioned for real impact.

“Indeed, the success of ventures like Amotio is driven by the alignment of clinical expertise, entrepreneurial vision, and strategic partnerships — and this project reflects exactly that.”

B Fit Group

B Fit Group, a South Wales based fitness venture B Fit Grou, has acquired Leighton Buzzard based Hunt Fitness, in a deal advised on by dealmaking group GS Verde.

Founded by serial entrepreneur Kev Foley, an expert business owner and coach with over 20 years’ experience in the fitness industry, B Fit has developed a specialist focus on personal training and small group training for people aged 40 and above.

This acquisition is the third deal completed by B Fit Group as the business builds on its mission to create a group of coaching gyms across the ��Ƶ.

Hunt Fitness has built a strong reputation in the south east of England. Joining the B Fit Group will enable to scale the gym through the next stage of growth. Kev Foley, founder of B Fit Group, said: “The goal remains simple: help more people feel stronger, healthier, and more confident for life. Hunt Fitness now becomes part of a group built to do just that, together”.

Mr Foley added:“I would especially like to thank our partners at GS Verde Group who provided smooth, end-to-end support throughout the acquisition. Their expertise and timely communication made the journey far more straight forward. Thank you also to our internal team and partners who supported us through the process.”

Menzies

Business advisory and accountancy firm Menzies LLP has acquired Cardiff-based rival Haines Watts Wales.

The deal, the value of which has not been disclosed, sees the merger of Menzies’ Cardiff office with the Haines Watts Wales (HWW) team of 20 and its two partners. It creates an enlarged Menzies team of 40 with a bolstered fee income of £4m.

Menzies said its latest acquisition forms part of a targeted growth trajectory to reach £85m in revenues in its current financial year – a figure double that achieved just five years ago.

London headquartered Menzies has a presence in both the ��Ƶ and internationally. It is also a member of the global advisory and accounting network HLB.

Menzies acquisition of HHW partners pictured left to right, Vicky Carter, Rachel Lai, John Cullen, Clive Edwards and Bethan Evans.

John Cullen, Cardiff-based partner with Menzies, said: “The merger with HWW represents a strategic milestone for Menzies as we strengthen our full-service capabilities in Wales. Wales has always been a very important market for Menzies and this merger underlines our long-term commitment to growth in south Wales.

"It will create new job opportunities and enable us to offer an even higher level of service as we reinforce our commitment to providing the best offering to clients throughout Wales.

Clive Edwards, partner, at HWW, said: We are excited about the opportunities that partnering with Menzies will create. It was important to us that we remained an active cog within any organisation we joined, to both protect the efforts of our staff to date and better enable us and our clients to embrace all the positive uplifts such a transaction will bring.

"We are confident that this merger will unlock new avenues for growth, strengthening our presence in Wales while offering the best service to clients as we have always done.”

Pink Storage

Fast-expanding self storage venture Pink Storage is targeting reaching 70 sites over the next three years.

The business, established by Cardiff-based entrepreneur Scott Evans, currently has 16 storage venues in Wales and six in England. By 2033 it is targeting 300 sites providing 60,000 units.

As part of its expansion into the English marketplace it has invested £1.5m with the acquisition of StoreWise, a 102-unit facility in Nottingham.

The deal saw Pink Storage acquire StoreWise for £1.1m, with an additional £370,000 being invested to upgrade the 1.3-acre site and add 150 new storage units.

Mr Evans, founder and chief executive of Pink Storage, said: “Acquiring StoreWise is a proud milestone for us. What began as a small Welsh brand is now setting the standard for innovation in self storage. Our forward-thinking, tech-led model is not only reaching a wider market but is actively reshaping – and shaking up – the industry across the ��Ƶ.”

Pink Storage is also retaining the site’s long-serving manager, who brings over a decade of local industry expertise.

Mr Evans said: “Our goal is to end 2025 with a significantly expanded network of strategically located sites across the ��Ƶ. We’re actively seeking further acquisition opportunities and would welcome conversations with anyone considering selling their self storage business.”

The company’s first self storage facility was in Ystrad Mynach. It is targeting English cities as part of its mission to become the ��Ƶ’s fastest-growing independent self storage provider.

So far this year the company has grown by 22% (revenues), adding new locations in Stoke-on-Trent, Manchester (two sites), Birmingham, and now Nottingham, with more sites in the pipeline.

The business to the financial year to March generated revenues of £5m with the aim of it growing 50% next year to £7.5m.

Draig Therapeutics

A Cardiff University life sciences spinout firm pioneering new therapies for neuropsychiatric disorders has been boosted with a huge £100m-plus equity investment round to support clinical trials ahead of commercialisation.

In the biggest ever investment into a Welsh university spinout and one of the largest for a start-up firm in Wales, Draig Therapeutics has secured backing from leading international venture capital investors globally to support its development of novel therapies for major neuropsychiatric disorders such as major depressive disorder.

The company is based on the research and expertise of Professor John Atack and Professor Simon Ward from Cardiff University’s Medicines Discovery Institute.

The £107m investment round has been led Access Biotechnology, alongside SV Health Investors and ICG, and including Canaan Partners, SR One, Sanofi Ventures and Schroders Capital.

The company was set in a partnership between the Medicine Discovery Institute and SV Health Investors and its chair in serial entrepreneur Ruth McKernan.

The new funds will enable Draig Therapeutics to advance its lead candidate drug, DT-101, into phase two trials this year for major depressive disorder. The funding will also enable it to advance two other drugs towards clinical development in 2026 with potential across a range of neuropsychiatric disorders.

The company was originally set up in 2021, but gained Cardiff University spinout status last year following approval by the university’s executive board. Cardiff University said it could not disclose what equity it and the academic founders of the business have post the investment round. Draig currently employs 17 but with the potential for further job creation.

Professor Ward of Cardiff University’s Medicines Discovery Institute and Draig Therapeutics, said: “We have unique scientific expertise in safely and effectively modulating the core Glutamate and GABA pathways in the brain, which play a critical role in neuropsychiatric disorders.

“Our knowledge of balancing the chemical neurotransmitters in the brain in neuropsychiatric conditions underpins Draig’s pipeline of novel treatments. With the launch of Draig, we can test and develop these new treatments, to bring them into clinical practice and make genuine impacts on the lives of patients around the world.”

Equity deals

The number of equity deals amongst SMEs in Wales slightly improved last year but declined on total values, according to new research from the British Business Bank.

The annual Small Business Equity Tracker from the ��Ƶ Government’s economic development bank shows that Wales was only one of five ��Ƶ nations and regions to experience growth in equity deal numbers - up 7.2% on 2023 from 69 to 74.

However, the value of deals in Wales declined by just over 12% from £129m in 2023 to £113m.

The latest acquisition and equity investment news in Wales

For the ��Ƶ as a whole the number of deals was down on the 2,412 in 2023 to 2,048 with total values also declining from £11.1bn to £10.8bn.

The number of disclosed equity deals in Wales last year made up 3.6% of the ��Ƶ total (2.9% in 2023) and on value just 1%, compared to 1.2% a year earlier.

London dominance of the ��Ƶ equity market reduced slightly in 2024. The share of deals being deployed in English the capital was 47.1% in 2024 (down from 50.8% in 2023). Its proportion of investment was 61.2% , down slight from 61.9% in the previous year and 73.3% in 2020.

Ceryx Medical

A Cardiff-based medtech firm developing new pacemaker technology for patients with long-term heart conditions has been boosted with a £5m fundraise.

The equity round into Ceryx Medical was led by the Development Bank of Wales and Parkwalk Advisors, the ��Ƶ’s largest investor in university spinouts, alongside contributions from BGF, Bristol Private Equity Club and other investors.

As part of the round, the dwvelopment bank has invested £2m through the Wales Flexible Investment Fund, alongside a £1.75m investment from Parkwalk. The investment will allow Ceryx to progress with clinical trials for its temporary pacing technology and develop a miniaturised version for applications in implantable pacemakers.

While the current standard of pacemakers is designed to keep hearts on a steady beat, Ceryx’s artificial neuron technology allows pacemakers to have more variable control of a heart’s rhythm, allowing it to respond to the patient’s breathing rates and exercise. This synchronises the heart with the lungs, allowing an increase in cardiac function.

This is the second time that Ceryx has received investment from the development bank, with an earlier £3.8 m round in 2022, in which it invested £1m. That round allowed it to bring an external version of its pacemaker to first in-human trials, following a global clinical study centred at the University Hospital of Wales, Cardiff.

Stuart Plant, chief executive at Ceryx Medical, said: “Our technology promises to be an effective therapy for those suffering from heart failure, giving them the chance to recover by replicating the rhythms and variability of a healthy heart. It’s estimated that there are 30 million heart failure sufferers worldwide, and about half of all patients die within the first five years after diagnosis.

“We’re looking forward to trialling the next iteration of our product, and we’re very pleased to have received this investment from the Development Bank of Wales and Parkwalk, allowing us to take things to the next stage.”

Tom Davies, investment executive in the technology ventures investment team at the Development Bank of Wales, said: “Ceryx is a pioneering Welsh medtech company leading the development of a breakthrough treatment for heart failure. Its pacing device has the potential to transform millions of lives globally, and we are proud to support them with equity investment in this latest funding round.”

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The latest acquisition and equity investment deals in Wales

Firms featured include Amotio, Draig Therapeutics, Ceryx Medical, Pink Storage and B Fit Group.

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