- Launched in 2011, Croud is a global, full-service digital agency with offices in the UK, US and Middle East;
- The business has worked with household brands including: International Workplace Group (IWG), Selfridges, Amazon’s Audible and Prime Video, and Nespresso;
- The transaction follows OakNorth’s initial £34m club loan to Croud in May this year to support the business’ M&A activity.
OakNorth, the digital bank for entrepreneurs, by entrepreneurs, has partnered with HSBC, Investec and Barclays on a £77.6m club loan to global, full-service digital marketing agency, Croud.
Launched in 2011 by ex-Googler, Luke Smith, and the Former Head of Search at Harvest Digital, Ben Knight, Croud has grown into a leading digital marketing agency with offices in London, Shrewsbury, New York, Atlanta, and Dubai. The business, which received private equity backing from LDC in 2019, has reinvented the agency model with its Croud Network – its unique global network of over 2,900 on-demand digital marketing specialists called “Croudies”- augmenting its 500 in-agency FTEs’ and enabling them to deliver globally for clients out of three hubs in the UK, US and the Middle East.
The club loan will help fund ECI Partners’ majority stake in the business, enabling Croud to expand through further acquisitions and organic growth. Founded almost five decades ago, ECI Partners has grown into a leading growth-focused private equity firm, investing alongside ambitious management teams in deals valued up to £300m.
Luke Smith, co-founder and CEO of Croud, commended: “We thank David Andrews and the LDC team for being a supportive and impactful partner over the past five years. We’ve achieved significant scale and success with their support, whilst continuing to create brilliant opportunities for our people and deliver outstanding work for our clients. We’re delighted to be partnering with ECI for the next phase of Croud’s journey, maintaining our independence, while capitalising on new opportunities and innovation. We were thrilled to return to the teams at OakNorth and HSBC, as well as have new support from Investec and Barclays on this transaction – the fact that so many financial big-hitters were willing to back us is a testament to the strength of our business and team.”
Rory Nath, Investment Director at ECI, said: “We were impressed by Croud’s digital-first strategy, investment in tech and AI, and commitment to talent, as demonstrated by its recognition in Campaign and Sunday Times’ Best Place To Work lists. The business has outperformed the market through its Croudie model, ensuring speed, scale, and efficient delivery for clients. We look forward to continuing to invest in the technology and people alongside Luke Smith and Ben Knight whose energy, focus and determination will help inspire the team to deliver our ambitious vision together. This was a highly complex transaction, and we were impressed with the syndicate of banks who worked together to get the deal over the line in a short timeframe.”
Stuart Blair, Director of Debt Finance at OakNorth, added: “Croud is an excellent business with a strong track record of growth in both the UK and US, so it’s no surprise that it has secured the backing of such an exemplary investor in ECI. This funding package will be a key catalyst in enabling Croud to continue scaling and strengthening its reputation as a global leader in tech-enabled marketing for the foreseeable future.”
ENDS
Notes to editors
About Croud
Croud is a global, performance-led media agency that helps businesses drive sustainable growth in the new world of marketing. With a rich heritage in performance, we apply that mindset to everything we do; brand planning, strategy, integrated media, social, creative, and data.
Founded in 2011 with the mission to reinvent the agency model, we combine 500+ in-house digital experts with a global, on-demand network of marketing specialists. This agile, scalable model gives us more time to really understand our clients’ businesses, and deliver truly incremental growth.
Part of the Croud Group, which also includes luxury specialists VERB Brands and social-first agency Born Social, Croud is proud to partner with leading global brands, including Audible, Vans, IWG, and AllSaints.
About OakNorth
Launched in September 2015, OakNorth is the digital bank for entrepreneurs, by entrepreneurs, empowering the lower mid-market (businesses with £1m-£100m turnover) to support growth, prosperity, and innovation for the benefit of all.
Since its launch, the bank has:
- Lent over £12bn to these businesses, directly helping with the creation of 40,000 new jobs and 29,000 new homes across the UK;
- Provide deposit services to over c.285,000 savers.
It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Visit www.oaknorth.co.uk for more information.
Media contact
Tom Pavey-Smith, Associate Director, Growth & Communications – [email protected] / [email protected] / 0791 716 5588