Early stage, London-based, specialist mobile virtual network operator, Cycell, has closed an oversubscribed £1m round which included a £160k investment by a group of London Business Angels investors.
Early stage, London-based, specialist mobile virtual network operator, Cycell, has closed an oversubscribed £1m round which included a £160k investment by a group of London Business Angels investors. This funding round takes the total level of investment by London Business Angels (www.lbangels.co.uk) into the company since August 2011 to over £300k. Cycell offers a full range of specialist white label handsets and airtime contracts, and has its own brand of Ownfone handsets (www.myownfone.com) which are some of the smallest, lightest and thinnest easy-to-use phones in the world. The company has already launched its mobile service across the country through Age UK, its first major distribution partner . The new funds will be used to fund further stock acquisition and to support the transition from trial phase to commercial scale operations.
Bill Darley, CyCell CFO, comments, "we are very grateful to London Business Angels for the rapid response to our funding proposal which enabled us to go from presentation to completion within the month. Whilst we were already known to LBA members, this demonstrates how professional the membership is in its ability to respond rapidly to a strong investment proposal. The rapid completion of the round has enabled Age UK and ourselves to get the uniquely easy-to-use handsets into the shops in good time for Christmas gifts for the elderly and the very young, and has already prompted interest from a number of national Daily newspapers.
Anthony Clarke, Angel Capital Group and London Business Angels CEO, comments, "when Cycell presented to the LBA community on 27th September, they had already received substantial commitments in the round which created positive deal momentum. As a result, they were able to close a £160k investment by a group of LBA members within 3 weeks as part of the oversubscribed round with a number of other interested LBA investors left disappointed! This is a good example of how quickly a company with strong management, a positive story and explosive growth potential can close a round once substantial commitments have been received. LBA investors have now invested over £300k into the company since August 2011 and we wish the Cycell team every success as they move into full scale operations with their lead commercial partner."