London, 2nd March 2018 – UK lower mid-market investor, Tenzing, today announces its investment in CitNOW, a leading global provider of video software solutions to the automotive industry.
CitNOW is a specialist provider of app-based video solutions that create a more transparent, easier car buying and owning experience for dealership customers. Its applications improve performance of car dealerships by allowing staff to send personalised, branded video presentations of vehicles for sale. In addition, workshop technicians use CitNOW’s Workshop app to send videos to customers to evidence parts that need replacing when cars are brought in for service.
CitNOW has pioneered video in the automotive industry and grown rapidly to become a global market leader, with over 7,500 installations in franchised car dealerships in 42 countries. The company currently works with more than 40 vehicle manufacturers around the world.
Tenzing has backed the senior management team, led by CEO Alistair Horsburgh and Exec-Chair Geoffrey Page-Morris. The Tenzing team and its Entrepreneurs Panel will support the company to further accelerate sales growth and develop new products, with specific input from Entrepreneurs Panel member Bill Collis, who is President at Foundry, the global visual effects software company.
Christian Hamilton, Co-Founder and Joint Managing Partner of Tenzing commented: “CitNOW is a true niche market leader, with a great opportunity to grow further in the rapidly changing automotive sector. We are delighted to have backed Alistair, Geoffrey and their team in the next stage of CitNOW’s development. Glenn Elliott and Bill Collis from our Entrepreneurs Panel offer the team first hand experience of growing international sales and developing software solutions. We’re excited about the journey ahead.”
Alistair Horsburgh, CEO of CitNOW, commented: “We have reached one of the most exciting stages of CitNOW’s development since the company was formed in 2008. Last year, we tripled our presence in Europe and increased our global revenues by over 50%.
Our core business strategy is to build out our franchised dealer customer base in the UK and Europe significantly. We chose Tenzing because they were a perfect fit for our business at its stage of growth. Christian, Guy, Rowena and their wider team have demonstrated throughout the process that they were the right choice for us. We know that, globally, consumers are demanding more personalised, more immediate service and we intend to capitalise on that in the automotive sphere.”
In the last two years, CitNOW has twice ranked in The Sunday Times Hiscox Tech Track 100.
Tenzing was advised on the investment by Alvarez & Marsal, Osborne Clarke, CIL, Intuitus, Deloitte Tax and Continuum. CitNOW was advised by Deloitte Corporate Finance, Progeny, Shoosmiths, and BHP.
The buyout of CitNOW marks Tenzing’s third investment from its maiden £200m fund and underlines Tenzing’s commitment to supporting buyouts of high growth independent market leaders and backing high energy, driven management teams and Founders to accelerate their growth in the UK lower mid-market.