OakNorth lends £11m to support Longacre Group’s investment in Veracity UK Limited, a leading supplier of technical connectivity products and software for the enterprise video surveillance market

  • Longacre Group is a long-term investment company, focused on the sustainable long-term development of niche, technical B2B companies in four core sectors; technical manufacturing, business services, speciality chemicals and healthcare;
  • Founded in 2005 and based in Prestwick, Scotland, Veracity supplies a range of transmission, storage and display products for the global IP video surveillance market as well as associated security management software systems;
  • The global video surveillance market is set to grow at a compound annual growth rate (CAGR) of 12.4% by 2030, driven by increasing private and public security demands[1].

OakNorth, the digital bank for entrepreneurs, by entrepreneurs, has provided debt facilities of £11m to long-term investment company, Longacre Group, to acquire a majority stake in Veracity, a global provider of network connectivity products and surveillance systems, and to fund ongoing working capital requirements of the business.

Founded in 2014 by Stani Schmidt-Chiari and Elliott Nicholson, Longacre Group is a UK headquartered group of highly specialised, products and services companies employing in excess of 1,000 people worldwide in its core sectors of Business Services, Healthcare Products and Services, Technical Manufacturing and Speciality Chemicals.

Founded in 2005 in Prestwick, Scotland, Veracity has a global presence with offices across the UK, North America, Middle East, India, and Malaysia. Veracity offers a comprehensive and highly specialised product range of critical components, sub systems, and completely integrated solutions which solve transmission, storage and display challenges in IP video surveillance systems.

Longacre Group were advised my MDW Capital on the debt financing.

Alastair McLeod, CEO of Veracity, commented on the transaction: “Our mission has always been to connect, integrate and control a diverse set of security products, including the provision of complete and cybersecure video surveillance solutions and security management systems. These systems operate in very demanding, high-end security and critical national infrastructure sectors and are delivered alongside our extensive range of market-leading IP transmission products. The support from Longacre Group and the financial backing they received from OakNorth will help accelerate our growth plans in the future.”

Stani Schmidt-Chiari, Co-CEO and founder of Longacre Group, continued: “Longacre Group prides itself on its flexible investment strategy and the value we can bring through our inhouse team of operating partners. We are delighted to be able to support Veracity on its next stage of growth. It has been a pleasure working with Stewart and the OakNorth team who were highly entrepreneurial throughout the entire transaction and their speed of execution helped us complete our investment on an extremely tight timetable”

Stewart Haworth, Director of Debt Finance at OakNorth, added: “We are delighted to support such a well-established investment house with a proven investment track record. The global video surveillance market is set for significant growth over the next five years, driven by increasing security demands in private and public places. Veracity is in a prime position to capitalise on this tailwind following its investment from Longacre Group. We look forward to strengthening our relationship with both Veracity and Longacre Group in the future.”

ENDS

Notes to editors

[1] Grand View Research – Video Surveillance Market Size, Share & Trends Analysis Report

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 £11bn to these businesses, directly helping with the creation of 47,000 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

[1] Grand View Research – Video Surveillance Market Size, Share & Trends Analysis Report

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