Client

Project Rocket

Background

Project Rocket (“the Company” or “the Client”) is a start-up insure-tech company that provides on-demand insurance for freelancers, via its online platform. The fully digital experience enables policy holders to activate and deactivate their insurance policy on demand, to complement the flexible nature of working as a freelancer. Since its launch, the Company achieved numerous positive online reviews and a high conversion rate.

Assignment

The Company had initially secured venture capital of c£1m and approached BM Advisory LLP (“BM Advisory”) for financial advice on expansion and ongoing cashflow management. BM Advisory recognised that the Company relied on a significant IP portfolio and so approached Metis Partners in order to explore a potential IP asset or share sale, which could alleviate the working capital pressure and provide the Company with increased financial stability. We acted swiftly to produce a bespoke marketing and sales campaign, under accelerated timescales to avoid the Company’s decreasing cash position pushing it towards financial distress.

Our Approach

Using Metisology, our proprietary methodology, Metis Partners performed comprehensive desk-based research on the Company and then liaised with the Client in order to gather information in relation to the IP assets held by the Company. We identified a wide range of IP assets which were considered critical to the Company, its revenue generation and its competitive advantage including:

• Goodwill rights in the Company’s growing brand
• The software and source code behind the online platform
• An attractive domain name portfolio
• Well-developed website content
• Registered trade marks
• Databases

Following our discovery exercise, we worked closely with the Client and BM Advisory in order to plan a focused marketing exercise within the limited time available. Our marketing pack showcased and catalogued the Company’s IP and was circulated to a targeted marketing database as well as our proprietary database of circa 3.7k potential IP acquirers.
We received 13 expressions of interest as a result of our marketing campaign. We created and managed a virtual data room to support due diligence enquiries, which included the Company’s financial and operational information. We facilitated discussions between potential buyers and representatives of the Company on the future options and the technical capabilities of the platform. Metis Partners negotiated with several parties in order to create competitive tension and received three offers for the business after the first round of offers. We supported the Client in assessing the offers and secured a significant uplift in the winning bid.

Outcome

We successfully identified a buyer for the Company and secured an additional £1m of investment. The Company’s trade was uninterrupted, ensuring ongoing insurance cover for its customers and facilitating the continued employment of the Company’s key employees.

Results

• Carried out a focused marketing exercise within accelerated timescale
• Identified a purchaser in the same market who was committed to developing the Company’s service
• Completed the transaction to a timescale that enabled the Company to continue trading with no disruption for customers
• Facilitated the continued employment of the key employees at the Company
• Assisted in securing a further £1m of investment