Further direct investment into Netacea

Mercia Asset Management PLC (AIM: MERC), the proactive, regionally focused specialist asset manager with c.£1.4billion of assets under management, is pleased to announce completion of a £4.4million funding round* into Netacea Group Limited ("Netacea"), a Manchester-based cybersecurity business.

Mercia now holds a fully diluted 34.2% direct investment stake in Netacea, with its managed funds holding a further 31.2%. Mercia contributed £1.6 million to this funding round as part of its direct investment holding, with the remainder of the funds coming from the Mercia-managed Northern VCTs; Northern Powerhouse Investment Fund; and Netacea's management team.

This latest funding round will underpin Netacea's commercial progress as a leading provider of defensive AI software against bot attacks that target mobile, web and API applications, by supporting its continuing growth plans both in the UK and internationally. From its North West base, Netacea already supports some of the world's largest global retailers and telecommunications networks.

Dr Mark Payton, CEO of Mercia Asset Management PLC, commented: "Our continuing support reaffirms Mercia's belief in both Netacea's technology and the growth potential of the defensive AI software market. Investing in this Manchester-based business also underscores Mercia's continuing commitment to supporting game-changing businesses based across the UK."

Keira Shepperson, Director at British Business Bank, said: "This investment alongside Mercia demonstrates the transformational impact that the Northern Powerhouse Investment Fund has on the businesses it supports and the wider business community, helping to facilitate knowledge-sharing and building new bridges and connections."

*The funding round was achieved across two tranches, completed in July and October 2023.