Angel Fund clocks up 50th investment milestone
18th June 2014
THE Finance for Business North East Angel Fund has reached a major milestone with the completion of its 50th investment.
The Fund, which is managed by Rivers Capital Partners, has invested an undisclosed amount in games technology start-up company Clockwork Chilli Ltd in a deal advised by law firm Ward Hadaway.
Founded in 2012, Clockwork Chilli focuses on the development of html5-based technology which is used to create a wide range of games and applications.
The Newcastle-based company has developed a games engine – called WADE – which is already being used by over 600 developers to make interactive games on a range of different platforms.
WADE is available free to developers with premium features available to buy. Clockwork Chilli is also using the system to create its own games aimed at social media users and available for free, supported by advertising and opportunities for in-game purchases.
The company also recently launched an online store selling other gaming products to consumers.
The investment from the Finance for Business North East Angel Fund will be used to help hire more staff to grow the business and boost revenues.
Clockwork Chilli managing director, Giordano Ferdinandi, said: “There has been an explosion in the popularity of online gaming in recent years and modern web technologies and standards are making it possible for interactive games to be developed across a wide range of different platforms.
“Our WADE system is already used by over 600 developers and as the popularity of the technology continues to increase, so do the opportunities to create a range of revenue streams from it.
“We think there is a huge market for games which lie between simple games like Flappy Bird and more complex high-end games like Assassin’s Creed and WADE is ideally placed to exploit that market.
“This investment from the Finance for Business North East Angel Fund will make a big difference in our ability to grow the business and is also a valuable endorsement of our vision for Clockwork Chilli’s development.”
Michael Dickens, investment manager at Rivers Capital Partners, said: “This investment represents a real milestone in the life of the Finance for Business North East Angel Fund.
“In many respects, Clockwork Chilli typifies the kind of company which the Fund was established to help – an ambitious, forward-thinking young business looking for early stage funding to help it develop and grow.
“Giordano and the team at Clockwork Chilli have developed a product which is already highly popular in a market which is experiencing exponential growth so hopefully this investment will enable them to take things further.”
Richard said: “It is very pleasing to have assisted Rivers Capital Partners on this, the 50th investment from the Finance for Business North East Angel Fund.
“Having advised on many of the previous investments from the Fund, we were able to use that experience to ensure that the investment in Clockwork Chilli Ltd progressed smoothly.
“Online gaming is a clear growth area in the technology sector and the increasing crossover between games playing and social media will hopefully give Clockwork Chilli plenty of potential to expand.”
Ward Hadaway has previously advised Rivers Capital Partners on over 30 investments from the Finance for Business North East Angel Fund.
The Finance for Business North East Angel Fund invests in start-ups and existing businesses with growth potential in the region.
It forms part of the £125m Finance for Business North East investment fund established to provide debt and equity funding to SMEs based in North East England.