Technology

Posted on October 8, 2018 by staff

BGF invests £5m in mobility tech firm

Technology

A West Yorkshire mobility technology business has secured a £5 million investment from Business Growth Fund, which has taken a minority stake in the firm.

Fleetondemand is behind an online platform which connects people to vehicle rental, car leasing, business travel and transportation services.

The funding will support a pan-European launch of the company’s technology next year, as well as new product development.

The deal marks further success for CEO Justin Whitston, a fleet and technology entrepreneur who previously founded Nexus Vehicle Rental in 2000.

He said: “The investment is our first deal and we now have the perfect long-term partner in BGF. We were approached by many potential partners, but it was clear right from the start that the team and investment strategy at BGF was a perfect fit for the next phase in our growth journey.

“This deal is testament to the incredible team of people we have across our business who continue to drive innovation and development of our technology platforms.

“We see direct penetration into the vehicle hire and business travel sectors as being a key part of our strategy, alongside our unique capabilities across our Mobility-as-a Service technology, which is first to market.”

The investment for BGF was led by Chris Boyes.

He added: “The company has delivered consistent growth historically which has allowed for significant investment into their market-leading Mobility as a Service technology.

“We are excited to be working alongside Justin and the team as they grow the business.”

Boyes will join the board of Fleetondemand along with John Eggleston, BGF’s head of TMT.

Law firm Gateley advised BGF while Fleetondemand received legal advice from Freeths and corporate finance advice from TLP.