Addleshaw Goddard has advised BGF on the sale of a substantial part of its shareholding in the Scottish-based laser manufacturer M Squared.

BGF, which has sold the majority of its stake in M Squared, says the acquisition “crystallises an excellent return” and they will continue to retain a meaningful stake in M Squared as it continues its pioneering work in quantum innovation and technologies to tackle climate change.

Addleshaw Goddard’s corporate team was led by David Kirchin.

David Kirchin, head of Scotland at Addleshaw Goddard, said:  

As one of the first to be supported by the Scottish National Investment Bank, this is a fantastic transaction for everyone involved, and represents a significant return on investment for BGF.

“It is an excellent example of how investors are working with the flourishing tech sector to ensure that ambitious companies receive the necessary support to help them thrive. We wish BGF and M Squared well for their next steps, as well as new investor the Scottish National Investment Bank and debt providers Santander UK.

Patrick Graham Head of BGF for Central Scotland and Northern Ireland said: 

M Squared, one of BGF’s first investments, received £6.4m across three rounds of funding over the course of the past eight years. The company has grown ten-fold since, crystallising a strong return for BGF. Our long-term view on investment and supporting growth via follow-on funding can provide a strong platform for businesses like M Squared to realise their full potential.

“Our flexible model also allows us to collaborate with other institutions and we are pleased to be partnering with both Santander and the Scottish National Investment Bank in its first investment. We are also delighted to continue as an equity shareholder in M Squared and look forward to supporting the management team and the business in the next phase of its growth journey.