2escape2 is to float on the London Stock Exchange’s Alternative Investment Market (AIM) and will be renamed 2e2. Gresham backed the business in July 2003 with £6.6m of working capital to expand the business.
The company is seeking to raise around £25m of new money, which will be used to pay down debt and to fund 2e2’s future development.
2e2 is owned by senior management (51.7%) and funds managed by Gresham hold 48.3%. Management and other senior employees will not be selling any shares at the flotation and are undertaking not to dispose of any shares for at least 15 months afterwards. Gresham will retain a significant stake.
2e2 was founded in March 2002 by Terry Burt and Mark McVeigh. In 2003, with Gresham’s backing, the company acquired Norsk Data, a managed services arm of Telenor, the Norwegian telephone company.
To date, 2e2 has acquired seven businesses. Annualised run-rate revenues are around £75m and the group is profitable.