Next Fifteen Communications Group PLC (LON:NFC) said it has acquired Mach49, a Silicon Valley-based growth incubator for global businesses, which will become the “cornerstone” of its plans to create a US$100mln revenue innovation business to work alongside its marketing businesses.
“Mach49 has pioneered a repeatable, scalable, customer-centric approach that enables global businesses to leverage the strength of their talent, assets, competencies, brands, channels and customers to build their own incubators and growth engines. This approach, developed and codified over many years, has resulted in a consistently high success rate getting clients’ ventures to market, a performance that places them as one of the leading venture builders in the world”, the company said in a statement.
Next Fifteen said the incubator’s practices have helped clients across a wide range of industries including Clipsal Solar, an Australian residential solar energy provider, Surehand, a self-service hiring platform that instantly matches industrial employers with skilled tradespeople, and Pear.ai, an energy analytics solution for enterprises.
“The acquisition of Mach49 takes Next 15 in a new strategic direction. There is tremendous pressure within large businesses to innovate and transform to meet the world’s challenges, as well as to fight market disruption from [venture capital]-backed start-ups”, Next Fifteen chief executive Tim Dyson said in a statement.
“In the current climate, we are seeing a big shift with large companies increasingly focused on the execution of these initiatives to drive meaningful growth. Combining Next15’s experience with high growth Silicon-Valley companies and Mach49’s expertise in creating and launching new ventures, incubators and corporate venture capital funds will give us a unique service offering for global businesses to build and scale resilient new ventures. Collectively we can now work with customers to design and build high growth, Silicon Valley-style companies with digital native go-to-market capabilities at their core”, he added.
Shares in Next Fifteen were 0.2% lower at 474p in early trading on Tuesday.