Mercia Asset Management PLC (AIM:MERC) said it directly contributed £1.6 million as part of a £4.4 million funding round for Manchester-based cybersecurity business Netacea Group, which provides defensive AI software against bot attacks targeting mobile, web and API applications.
The regions-focused asset manager, which has around £1.4 billion of assets under management, said it now holds a 34.2% direct investment stake in Netacea, with its managed funds holding a further 31.2%.
VCT funds managed by Mercia, the Northern Powerhouse Investment Fund and Netacea management contributed the remainder of the funding.
This funding round was aimed at supporting the North West firm's growth plans both in the UK and internationally.
Mercia chief executive Dr Mark Payton said: "Our continuing support reaffirms Mercia's belief in both Netacea's technology and the growth potential of the defensive AI software market.
"Investing in this Manchester-based business also underscores Mercia's continuing commitment to supporting game-changing businesses based across the UK."