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Online business & e-commerce

Kape Technologies hails most successful year, Unikmind offer process ongoing

VPN provider Kape Technologies PLC (LSE:KAPE) said last year was its most successful to date, with revenues surging 170% and cashflow mushrooming 275%.

The owner of brands including Express VPN, Private Internet Access, CyberGhost, ZenMate and Intego Antivirus raised £190mln at a price of 265p last September and secured modified debt facilities of US$425mln in November as it sought to add to its seven acquisitions over the last five years.

Last month, it received a cash offer from its 55% shareholder, Unikmind, at US$3.44 (285p) per share, which Kape’s independent directors argued does not represent the full value of the company.

Unikmind has stated it intends to seek a delisting of the company regardless of the outcome of the offer.

Kape reported revenues of US$623.5mln for the past calendar year, up from US$230.7mln, of which 86.8% was recurring revenue, down from 92%.

Operating profit rose 162% to US$100.1mln and profit after tax tripled to US$70.9mln.

On the outlook, the company said: "After overperforming in 2022, Kape has made a strong start to 2023, underpinning the board and management team's confidence in the future performance of the group."

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