£7m boost for firm that sells £50k headphones
AN AUDIO technology company has secured £7 million in new funding to support increased production.
Warwick Acoustics said the capital would enable the company to invest in a new, state-of-the-art facility and ramp up manufacturing.
A spin-out from University of Warwick’s engineering department, the company has already used its technology to launch a range of high-end headphone systems which retail at prices up to £50,000.
The Nuneaton-based business has now turned to making loudspeaker technology for in-car audio systems and their slim designs offer greater flexibility to designers in terms of cabin layout.
This new funding round follows the firm securing its first production contract with an undisclosed vehicle manufacturer last year, initially for two vehicle programs.
Warwick Acoustics has also secured development contracts with a number of car companies and said it was in talks with other leading global brands.
This latest £7 million fund raise was led by Mercia Ventures alongside NFU Mutual and private investors.
Chief executive Mike Grant said: “I’m delighted that we have concluded our latest fundraise and, in doing so, am able to welcome NFU Mutual to the shareholder register.
“The support we have received from these major institutions is a testament to the hard work and outstanding commercial progress that my team have been able to make over the last 18 months.
“This raise provides the business with an outstanding foundation on which to move forward and complete the initial commercialisation of the technology for the automotive market.
“Completing the journey into production on our first significant and highly complex system production automotive contract will be a springboard for the business to accelerate its financial performance and realise fully its potential on a global scale.
“We are excited by the potential opportunities ahead of us that this funding round will enable us to address.”
Mercia’s chief executive Mark Payton added: “We have supported Warwick Acoustics since 2009 as the business resolved technical challenges and progressed in the commercialisation of its technology.
“Its headphone systems have received global acclaim as best-inclass products and the automotive production agreement signed last year was a landmark achievement.
“The company is now gaining significant commercial traction and attracting interest from the leading players in the premium automotive market. We look forward to continuing our support for the team to help them realise the disruptive, worldbeating potential of this business.”