26 Mar 2017

A transformational cross-border acquisition by AIM-quoted CyanConnode allowing acceleration of the company’s product roadmap.

The challenge

AIM-quoted Cyan Holdings plc (now CyanConnode Holdings plc) (AIM:CYAN.L) wanted to acquire the Connode Group, a leading supplier of wireless communication products for the Internet of Things (IoT), to expand its product portfolio and international presence. This would drive Cyan to become a world leader in narrowband RF mesh networks that enable Omni IoT communications.

The deal involved acquiring Swedish-based Connode Holdings AB and its subsidiary, Connode AB, and simultaneously, the acquisition by Connode AB of India-based Connode India Private Limited. The company also carried out a large fundraising to secure funding of the cash consideration and ongoing working capital needs of the newly enlarged group.

Our support

Our team, led by Corporate Partner, Ed Hooper, advised Cyan from the inception of this deal through to its completion, acting as lead adviser and coordinator of a large cross-border advisory team of lawyers, accountants, insurers and investment banks. The transaction required careful structuring and efficient project management to ensure all stakeholder needs were met within the timeframe.

Making great things happen

This was a transformational deal for Cyan and quickly led to a number of high profile contract wins. The group’s high value involvement in the UK Smart Metering Implementation Programme is particularly exciting, with the rollout of smart metering commencing during 2017 and involving the installation of 53 million gas and electricity meters nationwide before the UK government’s targeted completion date of 2020.

What the client said

John Cronin, Executive Chairman, said, “It has been a pleasure working on this transaction with the Taylor Vinters team during the past six months. This has been a complex, sometimes challenging deal, demanding careful management to ensure the alignment and simultaneous closing of so many parts. Taylor Vinters have provided good, solid advice while being flexible in their thinking, and always working with us to find the best solution for our company. We now look forward to integrating Connode into our group and working to make CyanConnode a world leader in narrowband RF mesh networks.

About CyanConnode

CyanConnode is a world leader in narrowband RF mesh networks that enable Omni IoT communications. Cyan’s Ultimesh provides narrowband RF mesh network, optimised for exceptional performance and total cost of ownership and Connode’s Panmesh delivers standards-based IPv6 solutions, enabling rapid innovation for the implementation of third party applications. The Group provides customers with the flexibility and choice required to converge networks for applications in smart cities and IoT, delivering increased customer value.