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DIGIT Deal Roundup | January 2025

Tom Quinn

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digit deal roundup January 2025
Check out the latest funding, investments, deals, and acquisitions news from across the Scottish tech sector.

Welcome to the latest edition of the DIGIT Deal Roundup.

A whirlwind start to the year saw big news in funding, with millions invested into the Scottish space sector and select financial service firms, while major acquisitions promise to provide a boost for IT and cybersecurity firms north of the border.    

Here’s our round-up of 2025’s standout stories so far.


Funding and Investments


Rocket Firm Orbex Wins £20M in UK Gov Funding

Orbex to Offer Space Industry Insight at “Space for Everyone” Tour Stop

 

 

 

 

 

 

 

 

 

 

Orbex, the Highlands-based orbital launch services company, secured £20 million in funding from the UK Government as part of its ongoing Series D fundraising round.

The investment will help to accelerate further development of Orbex’s Prime rocket—its 19-metre long, two-stage rocket designed to transport small satellites into Low Earth Orbit (LEO).

The rocket is poised to become the first in a new generation of “ultra green” launch systems, powered by renewable bi-propane fuel, significantly cutting carbon emissions compared to other similarly-sized rockets that are being developed elsewhere.

“This first of a kind investment by the UK government demonstrates its confidence in the UK’s space rocket manufacturing and launch sector and is an exciting start to the opening of our Series D fundraising,” said Phillip Chambers, CEO of Orbex.

In addition to the UK Government’s funding, the rocket firm has also received investment from the Export and Investment Fund of Denmark (EIFO), Octopus Ventures, and private investor Sohaib Abbasi.

Read more here.


Smart Data Foundry Secures £3M for Financial Data Service

Smart Data Foundry funding

 

 

 

 

 

 

 

 

 

 

Smart Data Foundry (SDF) has been awarded £3 million funding to operate a new Financial Data Service, enabling more researchers to study the financial health of millions of households across the UK, by providing secure access to financial behaviours, economic resilience, and regional economic activity.

The funding will be provided by Smart Data Research UK, which is part of UK Research and Innovation (UKRI).

The new service, which will operate from SDF’s base at Edinburgh Futures Institute, will be part of a network of five other data services across the country.

Dougie Robb, SDF’s Interim CEO, said: “We look forward to joining five of the most forward-thinking data service organisations in the UK in this ground-breaking network.

“It will foster data sharing partnerships between academia, public institutions and private enterprise leading to public good outcomes which will improve the lives of people across the UK.”

Read more here.


Glasgow Uni Launches New Fund for Spinout Ventures

innovation fund glasgow

 

 

 

 

 

 

 

 

 

 

The University of Glasgow has launched a fund to help support its researchers and academic staff who want to start a new venture or spinout company in the coming year.

The Innovation Cluster Development Fund is aimed at academic staff and university teams with innovative ideas or business concepts that carry commercial potential, offering the chance to secure flexible funding and accelerate the development of new ventures.

According to the university, the fund will broadly target ideas within five innovation clusters including energy and net-zero; health and life sciences; social sciences and social innovation; creative arts; and critical technologies, such as semiconductors, photonics, and quantum computing.

“As we embark on a new year, this is the perfect moment to launch a new venture, and we encourage colleagues across the University to take advantage of this unique, time-limited funding opportunity,” said Liam Middleton, deputy director of economic development at the University of Glasgow.

Read more here.


TravelPerk Wins $200M In Series E Funding

travelperk

 

 

 

 

 

 

 

 

 

 

TravelPerk, the business travel platform that expanded into Scotland in 2022, has announced a new Series E fundraise of $200 million, lead by European venture capital firm Atomico, alongside EQT Growth.

The funding round also had significant participation from Noteus Partners and existing investors, including Kinnevik and General Catalyst, with the oversubscribed round nearly doubling TravelPerk’s valuation to $2.7 billion.

The funding will be used to invest significantly into product, technology, and AI to deliver a leading travel and expense management platform for SMB and mid-market companies in the US and Europe.

TravelPerk also announced its acquisition of Yokoy, a market-leader in Europe for AI-powered expense, invoice, and card payment processing.

Read more here.


NZTC Unveils 2025 TechX Clean Energy Startups

TechX Clean Energy Accelerator

 

 

 

 

 

 

 

 

 

 

The Net Zero Technology Centre (NZTC) has announced the eleven start-ups selected for its 2025 TechX Clean Energy Accelerator.

This year’s cohort features emerging companies developing technologies in alternative fuels, CCUS, low-carbon hydrogen, renewable energy and digital-based solutions.

Each of the selected start-ups will receive a share of £500,000 in grant funding, tailored mentorship and access to the NZTC’s extensive industry network, including programme sponsor ConocoPhillips.

The 18-week programme will culminate in NZTC’s annual Demo Day, where start-ups will present their final pitches to investors and industry leaders, with the opportunity to win additional cash prizes.

“We’re thrilled to welcome our 2025 TechX start-up cohort, introducing eleven high-potential innovators to our growing ecosystem of clean energy pioneers,” said Mark Anderson, Chief Acceleration Officer at the Net Zero Technology Centre.

Read more here.


University of Strathclyde Neurotechnology Centre Wins Funding

strathclyde neurotechnology centre

 

 

 

 

 

 

 

 

 

 

A pioneering centre to research and create ultra-small implantable neurological devices to support people with conditions such as Parkinson’s and dementia is being launched by the University of Strathclyde.

The Strathclyde Neurotechnology Centre has been awarded a grant of £675,000 from the Wolfson Foundation, an independent charity with a focus on research and education, to provide a combination of technology and equipment unrivalled in Higher Education in the UK.

Engineers and physicists will work in tandem with neuroscientists to understand the neural basis of brain disorders and ascertain the optimal technological approach to interact with them.

A five-year Professorial Chair in Neurotechnology has also been funded by a £1m donation from philanthropist and alumnus Leslie Stretch OBE.

Read more here.


Glasgow Tech Firm Secures Funding For Smart Social Housing

smart housing

 

 

 

 

 

 

 

 

 

 

Glasgow-based tech company Archangel securing a share of a £600,000 funding round from the UK Government for an integrated housing and care tech project supporting retirees in South Lanarkshire.

Partnering with the Digital Health & Care Innovation Centre (DHI) and Bield Housing & Care, the new project aims to cover around 25 homes within a Biggar retirement housing development, placing sensors to monitor property and wellbeing conditions, with data then sent to the Glasgow tech company’s ambient assisted living (AAL) platform to be automatically monitored around the clock.

Archangel’s CEO and founder Tom Morton said: “Data related to social housing, health, care and wellbeing is currently fragmented across multiple vendor systems and siloed datasets.

“This project showcases a smarter more cost-efficient approach to resolve these challenges using social housing data collection and presentation from multiple IoT (Internet of Things) devices via a unified communication infrastructure.”

Read more here.


Scotmas Secures £2.2 million Investment to Drive Innovation

Heriot Watt spinout

 

 

 

 

 

 

 

 

 

 

Scotmas, the Scottish Borders based water treatment and disinfection firm has secured £2.2 million in equity funding to support its international expansion plans, and enhance its product offerings.

The deal includes investment from the Investment Fund for Scotland, managed by Maven Capital Partners and delivered by the British Business Bank, alongside investment from Scottish Enterprise.

Alistair Cameron, CEO of Scotmas, said the funding will also support the firm in addressing the growing demand for more intelligent water treatment solutions as industries worldwide strive to meet stringent regulatory requirements and environmental goals.

“There is a clear and increasing need for Scotmas’ services due to increasing global water demands and water quality regulations becoming more stringent,” said Alan Robertson, partner at Maven.


Three Industry and Scottish University Projects Win Investment Fund

industry scottish universities projects

 

 

 

 

 

 

 

 

 

 

The latest round of the Scottish Inward Investment Catalyst Fund (IICF) has awarded three projects up to £10,000 each.

A partnership between Titanvolt and the University of St Andrews was awarded funding for the development of a lithium titanate oxide battery, while Australian health tech company Oraid Solutions is working with the University Strathclyde to develop a low-powered, high-frequency microphone for hearing aids.

The final funded project went to Masterisk Ltd, a software company based in England, which has created RASBOX, a risk quantification solution in collaboration with the University of Strathclyde to help financial services organisations quantify and manage their non-financial risk exposures.

The fund supported by Interface and the Scottish Government, attracts investment through research and development with Scottish universities, and to date has awarded 34 projects up to £10k in opportunity areas for Scotland such as energy transition, health tech and decarbonisation of transport.

Read more here.


Acquisitions


CGI Enters Agreement To Acquire BJSS

CGI acquires BJSS

CGI has announced the signature of a share purchase agreement on January 29, 2025, to acquire BJSS, a UK-based technology and engineering consultancy known for its innovative IT solutions, software engineering expertise and delivery.

More than 2,400 consultants and professionals will join CGI, deepening the company’s operations across the UK in key industry sectors such as retail, health, government, financial services and energy & utilities.

The transaction is subject to regulatory approvals and other customary closing conditions and is expected to close in February 2025.

“By joining forces, we will strengthen our ability to help clients across the private and public sectors achieve measurable outcomes, such as driving efficiencies, improving customer experiences and generating business growth,” said Tara McGeehan, President of CGI’s UK and Australia operations.

Read more here.


2i Announces Strategic Acquisition of nFocus Testing

2i Testing acquisition

Edinburgh-based software testing partner 2i Testing, has announced its acquisition of UK-owned testing consultancy, nFocus.

This acquisition follows 2i’s funding injection from London-based private equity firm Rockpool Investments in May of last year for an undisclosed eight-figure sum.

The acquisition, along with last year’s funding, will bolster 2i as it eyes a turnover surpassing £50m in the coming years, a sizable goal, but very much in the company’s sights as it has already enjoyed an annual turnover of £20m.

By leveraging nFocus’ complementary strengths, 2i aims to drive operational efficiencies, innovate service delivery, and further improve customer experiences.

Ryan James, Managing Director at nFocus said: “This is an exciting and pivotal moment for us. Two of the most successful testing organisations in the UK coming together in an organic way to create something truly unique and remarkable.”

Read more here.


Quorum Cyber Continues Global Expansion With New Acquisition

Quorum Cyber acquisition

Edinburgh-headquartered Quorum Cyber have announced the acquisition of Kivu Consulting Inc, a global cybersecurity firm specialising in Incident Response.

The strategic move comes just months after it acquired Difenda, a North American company that specialises in Microsoft Security Managed Services.

Founded in 2009, Kivu Consulting Inc, or ‘Kivu’, operates in the global insurance, legal, and government sectors, specialising in digital forensics, cyber incident response, business restoration, and ransom negotiations.

The acquisition of Kivu expands Quorum Cyber’s presence within these industries, and allows the firm to deliver its threat management services from three operations centres in the US, the UK, and Canada to customers worldwide.

“We are incredibly excited to welcome Kivu to Quorum Cyber. Kivu’s reputation for excellence and its strong history in incident response perfectly complement Quorum Cyber’s capabilities,” said Federico Charosky, CEO and founder of Quorum Cyber.

Read more here.


Rovtech acquires subsea robotics unit from Seatronics

Rovtech is to acquire the VALOR Remotely Operated Vehicle (ROV) business from Seatronics in a seven-figure deal.

The strategic acquisition will enhance Rovtech’s position as a global technology leader in manufacturing robotics, tooling and harsh environment equipment for nuclear and subsea operations, and boosts Rovtech’s portfolio with industry-leading technology tailored for subsea operations.

The company has a proven track record in developing precision robotics and stand-alone monitoring systems designed to withstand radiation, extreme heat, and deep ocean pressures.

Rovtech was recently acquired by climate tech venture studio Ventex, which is focused on repurposing companies, technologies, skills and experience in the existing supply chain to support renewable energy markets.

This latest deal doubles Rovtech’s workforce, which operates across two key sites in Aberdeen and Barrow-in-Furness, from 10 to 20 employees.

John Polson, CEO of Rovtech, said: “With this acquisition, we’re not just expanding our capabilities – we’re looking to set the standard for efficiency and innovation across the nuclear and subsea energy sectors.”


Estatesearch Acquires Exizent

Estatesearch, a provider of legal and financial services technology, announced its acquisition of Exizent, a platform providing estate administration and death notification services in a deal which the two firms hope might transform the bereavement space.
Estatesearch said the acquisition creates a opportunity to combine strengths and expertise, allowing for further investment in product innovation while providing long-term stability and support to customers and partners.
Exizent will continue to operate as a standalone subsidiary of Estatesearch, retaining its team and said users can expect uninterrupted platform access, with ongoing improvements driven by the combined resources of both companies.
“We are thrilled to join forces with Estatesearch whom we have known for years. We all believe it
is a good match – particularly of vision and culture,” said Aleks Tomczyk, co-founder and MD of Exizent.

McDonach IT Consultancy Transitions to Management Team

financial services M&A 2024

McDonach IT Consultancy, the Glasgow-based IT services and support company founded in 2013, has transitioned to new ownership through a vendor-initiated management buy-out.

The newly formed IT Resolution Group will be led by Kenneth Irvine and Bryan MacNair, however original founder Kenneth McDonach stays on as director for the transition period and retains a minority stake in the firm.
McDonach said: “I am pleased to pass the business on to Kenneth and Bryan and look forward to supporting them during this transitional period.”
“I am sure they will enjoy building the business further, and I am looking forward to a gradual retirement.”

OnPath Energy Acquires West Lothian Wind Farm

Shetland Islands clean energy

Pates Hill Wind Farm is under new ownership after being acquired by renewable energy developer OnPath Energy.

OnPath, which has its Scottish office in Hamilton, purchased the wind farm, which sits to the south of the village of West Calder, from GCP Infrastructure Investments Ltd, bringing the total number of onshore UK wind farms it owns and operates up to twelve, including two in Scotland.

The community benefits package linked to the wind farm will be fully maintained by its new owners, with OnPath now looking at ways in which local involvement might be enhanced.
Richard Dunkley, CEO at OnPath Energy, said: “The Pates Hill Wind Farm represented a strong fit with our development framework and its acquisition provides a positive outcome for all concerned, including the local communities that will continue to benefit directly from the revenues that it generates.”

Tom Quinn

Staff Writer, DIGIT

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