Navigation firm sets course for growth

A navigational aids manufacturer is preparing for its next chapter following a multi-million-pound funding boost and leadership shake-up.

Pharos Marine Automatic Power, based in London and Great Yarmouth, has secured £7.5 million in debt funding from Frontier Development Capital (FDC), part of Mercia Asset Management PLC, enabling a key shareholder to exit and giving chief executive Owen James and his management team a significant equity stake. 

They say the recapitalisation will “provide a sound basis” for the company to “pursue its growth plans,” having doubled its turnover in two years following a post-pandemic restructure.

Owen said: “Pharos was founded on the principle that ‘the light must never go out’. 

“More than a century later we continue to keep the lights on and provide power supplies for customers worldwide using renewable energy. 

“This deal will provide a sound basis for the business to move forward and pursue our growth plans and we look forward to this exciting new chapter in its history.”

The 120-year-old business, which employs 67 UK staff and also operates in the US, UAE and Singapore, designs and manufactures marine and aviation safety systems, including solar-powered lighting, beacons and fog signals used to mark offshore infrastructure worldwide. 

Justin Sorby, investment director – SME at FDC, added: “Pharos’s products play a vital role in ensuring the safety of shipping and aircraft worldwide and in energy production. 

“The company is achieving strong growth and is well placed to benefit from transition towards renewable offshore power. 

“We are pleased to be able to support Owen and the team as they continue to build the business.”

Chris Roberts Associates provided corporate finance advice to the management team, while Gateley provided legal advice to FDC.

Want your business, product or service to be seen regionally and nationally? Bdaily helps you get your story in front of the right audience, every day. Find out how Bdaily can help →

Join more than 55,000 subscribers by signing up to our daily bulletin each morning here.