Development Bank of Wales Joins Admiral Pioneer in Backing Wagonex

Development Bank of Wales , 13th October 2022

The Development Bank of Wales has confirmed its third equity investment in Wagonex, the UK’s leading mobility subscription platform provider – just one week after the announcement of a first strategic investment by Admiral Pioneer.

Launched in 2016, Wagonex designs, builds, and manages flexible, all-inclusive technology automotive subscription platforms, which enable vehicle suppliers to offer subscription options direct to consumers. They provide a seamless end-to-end customer journey, with an automated credit decision engine, creating flexible contracts inclusive of road tax, insurance, breakdown cover, and servicing.

Wagonex has delivered more than 120 per cent year-on-year growth since relocating to Cardiff in 2019. This followed an initial equity investment by the Development Bank’s technology ventures team as part of a seed investment round.

Toby Kernon, Founder and Chief Executive Officer of Wagonex, said:

“These are exciting times for our business as we continue to capitalise on the opportunities in the car subscription market. The ongoing support of the Development Bank as our long-term institutional investor and the strategic investment by Admiral Pioneer demonstrates the strength of our business and gives us the necessary firepower to rapidly scale in the UK.”

Dr. Richard Thompson, from the Development Bank of Wales technology ventures team, said:

“Wagonex is a great example of how our equity investment can attract fast growth tech businesses to Wales and leverage substantial co-investment. We’re looking forward to working with Toby, the Wagonex team and our new strategic co-investor Admiral Pioneer.”

This latest investment from the Development Bank comes from the Wales Business Fund.

The £204 million Wales Business Fund is financed by the European Regional Development Fund and the Welsh Government. Loans, mezzanine finance, and equity investments are available for deals between £50,000 and £2 million with terms ranging from one to seven years for small and medium-sized businesses (those with fewer than 250 employees) based in Wales, or willing to relocate to Wales.

Mae Banc Datblygu Cymru wedi cadarnhau ei drydydd buddsoddiad ecwiti yn Wagonex, prif ddarparwr platfform tanysgrifio symudedd y DU – wythnos yn unig ar ôl cyhoeddi buddsoddiad strategol cyntaf gan Admiral Pioneer.

Wedi'i lansio yn 2016, mae Wagonex yn dylunio, adeiladu, ac yn rheoli platfformau tanysgrifio modurol technoleg hyblyg, hollgynhwysol, sy’n galluogi cyflenwyr cerbydau i gynnig opsiynau tanysgrifio yn uniongyrchol i ddefnyddwyr. Maent yn darparu taith ddi-dor i gwsmeriaid o un pen i’r llall, gyda pheiriant penderfynu credyd awtomataidd yn creu contractau hyblyg sy’n cynnwys treth ffordd, yswiriant, yswiriant rhag torri i lawr, a gwasanaethu.

Mae Wagonex wedi sicrhau twf o fwy na 120 y cant, flwyddyn ar ôl blwyddyn ers adleoli i Gaerdydd yn 2019. Roedd hyn yn dilyn buddsoddiad ecwiti cychwynnol gan dîm mentrau technoleg y Banc Datblygu fel rhan o gylch buddsoddi sbarduno.

Dywedodd Toby Kernon, Sylfaenydd a Phrif Weithredwr Wagonex:

“Mae hwn yn gyfnod cyffrous i’n busnes wrth i ni barhau i fanteisio ar y cyfleoedd yn y farchnad tanysgrifio ceir. Mae cefnogaeth barhaus y Banc Datblygu fel ein buddsoddwr sefydliadol hirdymor a’r buddsoddiad strategol gan Admiral Pioneer yn dangos cryfder ein busnes ac yn rhoi’r grym i ni gynyddu ein graddfa yn gyflym yn y DU.”

Dywedodd Dr. Richard Thompson, o dîm mentrau technoleg Banc Datblygu Cymru:

“Mae Wagonex yn enghraifft wych o sut y gall ein buddsoddiad ecwiti ddenu busnesau technoleg twf cyflym i Gymru a throsoli buddsoddiad sylweddol ar y cyd. Rydym yn edrych ymlaen at weithio gyda Toby, tîm Wagonex a’n cyd-fuddsoddwr strategol newydd Admiral Pioneer.”
Daw’r buddsoddiad diweddaraf hwn gan y Banc Datblygu o Gronfa Busnes Cymru.

Ariennir Cronfa Busnes Cymru gwerth £204 miliwn gan Gronfa Datblygu Rhanbarthol Ewrop a Llywodraeth Cymru. Mae benthyciadau, cyllid mesanîn, a buddsoddiadau ecwiti ar gael ar gyfer bargeinion rhwng £50,000 a £2 filiwn gyda’r telerau’n amrywio o un i saith mlynedd ar gyfer busnesau bach a chanolig (y rhai sydd â llai na 250 o weithwyr) sydd wedi’u lleoli yng Nghymru, neu sy’n barod i adleoli i Gymru.