Maven in sync with Calnex

Maven is delighted to announce that it has made an investment in Linlithgow based Calnex Solutions Limited (Calnex) through the Scottish Loan Fund (SLF). Set up in 2011, and managed by Maven, the £113 million SLF provides loans of up to £5 million to Scottish businesses. In the two years since launch the SLF has committed over £30 million in support of 12 growth-focused companies.

In recent years there has been an explosion in mobile data and many commentators expect, certainly in the near-term, the volume of traffic to double annually. Much of the traffic will be bandwidth-hungry video content, and one of the major challenges faced by service providers is scaling the so-called mobile backhaul element of their networks in a cost-effective manner so as to ensure that a reliable and efficient network service is maintained. To achieve this most operators are migrating to Ethernet for mobile backhaul, however, operators then need to ensure that base stations that receive mobile phone traffic are properly synchronised so as to avoid creating distorted signals and poor service quality.

Calnex, employing almost 50 people, has grown to be a leading provider of solutions for Ethernet testing including synchronisation. The business has established a blue-chip customer base, including developers of next generation smart devices such as Nokia and Samsung as well as global telecom companies such as Vodafone which deploy the technology on their networks.

Calnex has a clear growth strategy and vision for the future and the flexible funding package provided by Maven via the SLF will allow the company to deliver a next generation testing product, ensuring the business remains a key player in the $1.3 billion global Ethernet testing market.

David Milroy, Investment Director at Maven, commented “Calnex is exactly the type of company that the SLF is ideally placed to support. We have been particularly impressed with the quality and strength of the management team, who have a track record of designing, developing and launching complex electronic test solutions that are deployed by a blue-chip international customer base. The team are widely regarded as being at the forefront of their field. It is particularly encouraging to see a young Scottish business successfully compete globally, and we are delighted to be partnering with Calnex as it prepares for a significant period of growth.”

Andrew Craig, Partner at Maven, said “We are delighted to announce another investment for the SLF, taking the total number of investments made by the Fund to 12 in just over two years. The SLF is now firmly established as an attractive funding partner for ambitious Scottish businesses which are seeking both growth capital and the support of an experienced SME investor such as Maven. Our three Scottish offices have a strong pipeline of opportunities, across a range of industries, and we expect to announce a number of further SLF investments over the coming months. To support this demand we are currently looking to expand our Central Belt investment team.”

Tommy Cook, CEO at Calnex, added “It is great to have secured the funding that will provide the support which will enable us to implement our development plans. We have a clear vision of our future business and the flexibility of the SLF funding package means we are able to achieve this in a timely manner thus ensuring we continue to serve our customers’ needs and remain at the forefront of market and technological developments. We are pleased that the Maven team quickly understood and shared our vision, and look forward to working with Maven during this exciting period of growth.”