Foresight Group sells APP-DNA for US $92m - Generating 32x return for its investors

  • UK software success, App-DNA, attracts a US$92m bid from NASDAQ-listed Citrix Systems
  • Leading SME investor Foresight Group's investment of £750k on behalf of Foresight VCT and Income & Growth VCT to generate up to £25m
  • Foresight VCT to achieve stellar returns for investors (32x, representing a 240% IRR) on sale of its portfolio company App-DNA to Citrix Systems

Foresight Group has reached conditional agreement for the sale of App-DNA Group Limited (App-DNA) to Citrix Systems Inc. (NASDAQ: CTXS), which is acquiring all of the equity in App-DNA for a total consideration of $92m (£57.6m), subject to completion adjustments. It is expected that completion will occur during November 2011, once certain administrative conditions have been fulfilled.

Foresight invested £771k in the company, on behalf of the Foresight VCT and The Income & Growth VCT. The acquisition by Citrix will return up to £25m in aggregate to the two funds, representing a return of 32x the original investment.

App-DNA, which was spun out of Foresight portfolio company Camwood in 2010, has become the leading specialist in Application Migration and Compatibility Software including App-DNA™ and AppTitude™ which it distributes to blue chip companies around the world. The company has created 80 jobs since the investment by Foresight and has offices in London, Chicago, Sydney and Paris.

Russell Healey, a Partner at Foresight Group, commented: "The App-DNA team has done an incredible job in taking the company from its spin-out from Camwood and developing it into the global leader in its field. App-DNA is typical of the growth capital investments Foresight makes in UK SMEs; an exceptional management team, profitable, high growth, a large global market and a sustainable competitive advantage."

"This transaction highlights the role that VCTs play in funding UK SMEs, and in particular in providing growth capital at a time when traditional bank funding is scarce. Foresight is one of the leading investors in UK SMEs, with an investment team of eight professionals and investments in over 50 companies across a wide range of sectors throughout the UK."

App-DNA was one of four companies in the Foresight portfolio that were recently profiled in the Sunday Times Tech Track 100 supplement.

For more information, please contact

Foresight Group:
Ben Thompson, Marketing Director bthompson@foresightgroup.eu +44 (0)20 3667 8155

Intelligent Profile:
Emma Cantrill: emma@intelligentprofile.com 01892 769958 / 07788 757377
Louise Barnett: louise@intelligentprofile.com 01892 769952 / 07713 742685