Innovation leads to significant investment
Postworks is announcing a significant investment of an undisclosed amount, made by Foresight Group, who are adding to their £2.7 billion investment portfolio. Postworks was launched in 2016 with the goal of disrupting the British postal industry.
Postworks’ innovation has lead to a startling level of organic growth since launch, just one of the reasons why the investment opportunity was attractive to Rodney Appiah, Director at Foresight Group, who commented;
We are very pleased to have made this investment into Postworks. We look forward to working with the management team to scale this innovative and disruptive technology business. Postworks is truly a great example of the vibrant startup community within the U.K.
James Booker, Postworks CEO added;
We are removing the barriers that the SME market face when sending post, like long franking contracts and complicated pricing structures.
“More importantly, we are giving the postal industry a much-needed push into the digital age and we are looking forward to working with Foresight and the wider team on this.”
Postworks investment is one of the first to be funded by Foresight’s new equity fund for the Midlands Engine Investment Fund (MEIF), as the British Business Bank launched £100 million of equity funding for the region, as part of the wider £250 million Midlands Engine programme dedicated to growing businesses across the East and South-East Midlands.
Foresight’s investment from MEIF, will support the continued growth of the company and over the next five years Postworks says it will open eight print centres to reduce the transport of physical mail items.
Newly appointed Chairman to Postworks, Simon Moate has also joined the business. Simon has over 15 years’ experience working with SMEs operating in business support services and was formerly CEO of Office2Office Plc, a diversified business services group.
Malcolm Johnston, Growth Hubs Manager, South East Midlands LEP said: “We met James when he contacted the Growth Hub and later joined our Investment Readiness Masterclass. It’s clear that business systems and processes are part of Postworks’ life-blood and the firm is constantly innovating and developing its own systems as a result. Postworks is an incredibly switched on business, having alreadygrown significantly, and with more to come. It is definitely one to watch. Clearly the fund managers think so too.”