Exit of med-tech business provides Development Bank of Wales with significant return on equity investment
Dr Elin Haf Davies (Image credit: Development Bank of Wales)
Cath Golledge and Chloe Walsh from our Corporate and Private Equity team advised the Development Bank of Wales on the exit of Aparito, a software business focused on accelerating drug development by digitising decentralised clinical trials. The team have advised the Development Bank throughout its entire investment in Aparito, involving multiple investments right through to its recent exit.
The initial early-stage equity funding from the Development Bank helped to finance research and development costs. Following the exit, with an initial return of 2.9x their £1.2m equity investment, the Development Bank looked to recycle the proceeds to new customers that also have commercial promise and can create long-term, value for money for Wales, in the same way that Aparito has successfully done.
Aparito is now a wholly owned subsidiary of Eli Lilly and Company, headquartered in Indianapolis, Indiana, with offices in 18 countries, selling medical products throughout the world. Having built up such a successful international business in Wales, Dr Davies continues with the business as chief executive. Her staff in Wrexham and Barcelona remain with the business and the company continues its operations in Wrexham.
Mike Bakewell, Deputy Portfolio Manager for the Technology Ventures Investments team at the Development Bank of Wales said:
Aparito has demonstrated real potential from day one. We’re proud to have played a part in the successful growth of the business with our early-stage equity funding that helped to finance research and development costs. Our return will now be recycled into new customers that also have commercial promise, creating long-term, value for money for Wales.
We were also pleased to have worked with Cath and Chloe at Capital Law on this investment; their commercial and professional approach was pivotal to the efficiency and completion of the exit deal.”
Cath Golledge, Capital Law’s Corporate and Private Equity Senior Associate said:
It has been a real pleasure to watch Elin grow the business to its success today following the support from the Development Bank of Wales from the very beginning of her journey. This is a fantastic success story for a female founded business in Wales and we look forward to seeing what comes next for Aparito and the opportunities created for other Welsh businesses from the Development Bank of Wales’ proceeds.”
