A leading North East technology company has secured a significant new investment round that values the business at approximately £200 million.
Funding Fuels Ambitious Expansion Plans
Aspire Technology Solutions, an award-winning IT services provider based in Gateshead, has received fresh capital from its existing backer, LDC (part of Lloyds Banking Group), and new minority investor, Federated Hermes. The deal is designed to accelerate the firm's growth strategy, with a clear target of achieving annual revenues exceeding £100 million by 2030.
The company, a former North East Company of the Year, operates from its head office at Pipewell Studios on the banks of the River Tyne. The distinctive office space was converted from the former Baja Beach Club nightclub. Aspire specialises in delivering managed IT services, with a strong focus on cyber security, cloud solutions, and communications.
Leadership Confident in Market-Leading Trajectory
Chris Fraser, co-founder and CEO of Aspire, stated that the investment marks a pivotal new chapter. "Our growth has always been driven by a clear focus on our customers and on delivering innovative solutions with exceptional service," he said. "LDC has supported our ambition since 2022 and their continued partnership as a lead investor, now alongside Federated Hermes, gives us the platform to move forward with confidence."
Fraser emphasised the company's commitment to scaling through sustained organic growth and customer focus, while using the investment to strengthen capabilities and expand its UK-wide delivery.
Gareth Marshall, partner and head of North East and Scotland at LDC, praised Aspire's performance. "Since our initial investment, Aspire has more than doubled in size while successfully integrating two complementary acquisitions and maintaining the customer service standards that set them apart," he commented. "The organic growth rates they’re achieving are genuinely market-leading for the sector."
Strategic Growth and Board Changes
Marshall added that with Federated Hermes joining as a co-investor, Aspire is now well-placed to pursue both organic expansion and a more active mergers and acquisitions strategy. This move capitalises on a UK market where demand for managed IT and cyber security services continues to surge.
As part of the investment transaction, Tim Hipperson is stepping down from his role as non-executive chair after three years. He will be succeeded by David Murray, who brings over three decades of experience in supporting technology business growth to the position.
The company's latest financial results, published in August, underscore its strong trajectory:
- Revenue growth of 28% to £50.9 million.
- Operating profits nearly doubled to just under £7 million.
- Headcount increased from 250 to 283 employees.
In addition to its Gateshead headquarters, Aspire Technology Solutions maintains offices in Glasgow, Leeds, London, and Stockton-on-Tees, supporting its growing national footprint.
