Fast-growth Miss Group nets £13m follow-on funding from BGF
Fast-growing Manchester-headquartered Miss Group has secured a £13m follow-on investment from BGF, the UK and Ireland’s most active investor, to support its international acquisition strategy.
Founded in 2014, Miss Group is an international web hosting business that offers a range of services to the SME market, such as web hosting, domain registration, VPS and dedicated servers.
Following BGF’s initial investment in August 2018, Miss Group acquired Hemsida24 and Heymo to grow its reach across Scandinavia. The deal saw the company add 14,000 customers and €1m EBITDA to the business. The acquisition of FS Data in March 2019 of FS Data brought 30,000 more customers to the business and £1.5m EBITDA. The follow-on investment from BGF will support further European acquisitions as Miss Group embarks on its next phase of growth.
The deal brings BGF’s total investment into Miss Group of £19m, supporting significant growth over this period with 2019 projected sales of £21m. Prior to BGF investment Miss Group have received funding from Harbert European Growth Capital.
Mattias Kaneteg, founder and CEO of Miss Group, said: “We have ambitious plans for growth and a strategy to add additional complementary acquisitions to our stable. We believe there’s still significant growth potential to expand into new markets, which we’re able to do with the funding and support provided by BGF.”
Pinesh Mehta, an investor at BGF who sits on the board of Miss Group, added: “Mattias and Miss Group’s track record speaks for itself - the team knows the market and its SME customers inside out. With offices already spanning the UK, US, India, Bulgaria and Scandinavia, we look forward to supporting further growth by expanding the business’ already impressive global footprint.”
Advisers: Knights Plc (acting for BGF)
Squire Patton Boggs (acting for Miss Group)
BGF’s North West team has invested £250m since 2011 across 28 deals in the region. Recent investments include; follow-on investment into day nursery group, Kids Planet, investment into bakery business St Pierre Group, and funding for fintech company, Planixs.
- BGF was set up in 2011 and has invested more than £1.9bn in over 275 companies, making it the most active investor in the UK and globally by number of transactions.
- BGF has £2.5bn to invest in UK SMEs and in Ireland, and an additional €250m to support Irish businesses. Earlier this year, Canada launched its equivalent – the Canadian Business Growth Fund – based on BGF’s funding model, and Australia is now actively exploring the approach as well.
- BGF is a minority, non-controlling equity partner with a patient outlook on investments, based on shared long-term goals with the management teams it backs.
Founded in 2014, Miss Group is an International Web Hosting Group that offers a range of Hosting related services at favorable prices such as Web Hosting, Domain Registration, VPS, Dedicated Servers, Sitebuilder, SSL-Certificate, SEO Tools, Web Security and Domain Management. Miss Hosting is also an ICANN-accredited Domain Name registrar via NameISP. The company is headquartered in Manchester, UK.