The Finance Durham Fund, established by Durham County Council, overseen by Business Durham, and administered by Maven Capital Partners has completed a profitable exit from threat intelligence firm Intelligence Fusion via a sale to Sigma7, a rapidly scaling global risk services company. Cavu Corporate Finance advised Maven and Intelligence Fusion on the exit which provided a profitable return and was in-line with expectations.
Maven led the initial investment in 2018 and since then, the security and situational awareness specialist has achieved an encouragingly positive cash flow which has been used to grow its staff more than tenfold from 2 to 30, as well as further develop its propriety product, generate sales, and drive commercial growth.
In August 2022, Sigma7 sought to purchase Intelligence Fusion for strategic reasons, including the incorporation of the latter’s cutting edge and distinct technology into its comprehensive risk services platform. The partnership will help scale Intelligence Fusion’s customer-driven approach and enable them to hire elite talent along with a greater pool of resources.
The global requirement for military grade human and cyber intelligence will always be of high pertinence. Intelligence Fusion’s management team gained its expertise from a rich background in the armed forces and subsequently the private defence sector. Having this knowledge and the software tools readily available is a top priority to combat the threat of security incidents adversely effecting organisations that are continuously emerging across the globe.
Michael Dickens, Investment Manager of Maven, said: “We’re delighted to see the talented team at Intelligence Fusion enter the next phase of their growth journey after an extremely successful partnership with Maven. Michael is a very driven leader with decades of experience in the global security sector. We are proud to have helped place the company in a position to capitalise on the ever-evolving growth within the security intelligence industry.”
Michael McCabe, CEO of Intelligence Fusion, said: “When I founded Intelligence Fusion, it was a new type of tech business in the North East and Finance Durham gave us the financial backing, alongside our other investors, to realise my vision. The company was built primarily using local talent, however, we have recruited staff from around the world, who have come to live and settle in Durham. An exciting part of this acquisition are Sigma7’s plans on investing in the expansion of Intelligence Fusion’s team and capabilities in Durham, as well as expanding our operations into the United States and elsewhere.”
Sahil Nayyar, Assistant Director of Cavu Corporate Finance, said, “Intelligence Fusion have built an impressive software platform and the combination with Sigma7 will create a powerful service solution. We are delighted to have led and advised on this significant transaction for the North East region and look forward to seeing the continued growth journey of the business.”
Cllr James Rowlandson, cabinet member for resources, investment and assets at Durham County Council, added: ““This is fantastic news for Michael and his team. Intelligence Fusion is an excellent example of a highly innovative SME in the growing cyber security, intelligence and technology sectors that Finance Durham was established to help fund. We look forward to building on our work with the team as it continues to grow in County Durham as part of Sigma7. The realisation of the investment will enable us to reinvest in other exciting growing companies.”