MSC R&D’s Technical Due Diligence supports Maven’s decision to lead £2.7m investment in Orchidsoft

MSC R&D’s Technical Due Diligence Team provides valuable insight during another successful investment process, led by Maven Capital Partners .

The Client

Maven is one of the UK’s leading private equity and alternative asset managers, providing a range of funding options to dynamic SMEs, and attractive investment opportunities in VCTs, private equity and property. It has a track record for backing ambitious UK software companies and recognised the potential in intranet software specialist Orchidsoft.

MSC R&D’s track record, fast-track team based process and paid-on-results approach were key factors in Maven choosing MSC R&D to conduct a technical due diligence audit to support the proposed £2.7m investment in Orchidsoft, led by Maven.

The Company

Orchidsoft has been a pioneer in developing and selling intranet solutions for over 20 years. As the market has shifted towards cloud-based solutions, the business has invested heavily in developing its own globally scalable cloud-based platform called Oak. The flexibility of its ‘out-of-the-box’ intranet platform makes it suitable for businesses of all sizes across a multitude of sectors. Since its launch in 2016 Oak has been adopted by a range of high profile blue-chip customers, adding to the list of household names the company already works with, including Aldi, Comic Relief, Halfords, ITV, Virgin Money, Pizza Express.

The proposed funding would enable the business to expand its sales and marketing efforts across the UK and US.

The Project

The MSC R&D Technical Due Diligence Team consisted of a lead analyst and two technical analysts with over 55 years combined experience in the ICT industry.

The process undertaken for this Technical Due Diligence consisted of four stages:

  1. Agreeing the terms of reference – in this case to review the Development Environment, the Operational Environment and Business Methods and Processes
  2. Reviewing of key documentation
  3. A two-day face-to-face meeting at Orchidsoft’s offices. This enabled a detailed set of presentations to be made by Orchidsoft and extensive Q&A sessions that followed.
  4. Analysing the accumulated information and presenting the findings in detailed 35-page report

The Results

The conclusions fully supported Orchidsoft’s claims that their Oak technology was a best of breed solution.

As a result, the £2.7m investment in Orchidsoft went ahead and was announced in June 2018.

What the Client said

“Orchid is a hugely exciting business and we are delighted to support its continued growth in its outstanding Oak product across the UK and overseas.

Our Technical Due Diligence partner MSC R&D has provided valuable insight during the investment process and shown the Oak product suite to be best in class. MSC’s process is efficient and their reports are thorough and informative and excellent value for money.”

Alex Marsh, Investment Manager, Maven Capital Partners