£850k equity investment in drone company supplying aid through Investment Fund for Wales

Press release 07 November 2024

The British Business Bank announces an £850,000 investment from the £130m Investment Fund for Wales (IFW), the latest in a series of deal announcements from the Foresight Group (Foresight) who manage the £50m Equity Finance element of the IFW.

Photo of Drone Evolution staff with Ruby Godrich from Foresight and Bethan Bannister from British Business Bank standing outside with three drones sitting on top of a commercial vehicle

This most recent investment has been made into Caerphilly based drone development specialists and service providers Drone Evolution. It is a scaling commercial drone services company which is at the forefront of the evolution of how businesses and organisations use drones to increase levels of public safety.

When Storm Dennis tore through the UK in February 2020 and a month's worth of rain fell within 48 hours, the team behind Caerphilly-based Drone Evolution was called upon to guide Local Authorities across south Wales’ flooded communities on how best to manage the flood’s impact on the region’s coal tips. They have been consulting with Local Authorities across the area ever since.

Drones, or Unmanned Aerial Vehicles (UAVs) are used to supply aid and food, water and medicine to areas affected by disasters, but crucially, during the aftermath of Storm Dennis’ devastation, Drone Evolution, which launched in November 2018, was able to inspect infrastructure damage, problem areas and terrain conditions, to assist in the clean-up operation and to provide mapping and data collection.

The nine-strong team, co-founded by business partners Clayton Earney, Toby Townrow and John Young, pilot drones and provide UK-wide consultancy services for both corporate and independent clients.

Much of our work is inspection and detection, as well as remedial work. We offer early analysis to prevent potential damage. Our drones are used to complete building, telecoms and typography land surveys, thermography and traffic monitoring. We have worked extensively on coal tip mapping and monitoring year on year for any shift or danger.

We continue to work closely with local authorities to help reduce overhead costs. Our drones identify blocked drains or missing tiles on schools, to prevent leaks and damage. Flying a drone is a quicker process than having to use scaffolding or cherry pickers, which increases public and employee safety, with working at height still Britain’s biggest workplace killer.

It was clear from our very first conversations with Foresight that we were compatible for Investment Fund for Wales support in unlocking the business’ true potential.

- Toby Townrow Business Development Director, Drone Evolution

Drone Evolution’s product provision continues to grow and the company has patented a tethered quadcopter design drone, which can fly for extended periods, providing many more ways for use in a commercial setting than current free-flying drones. The drone is mobile, easily portable and benefits from being able to lift payloads of up to 5kg, whereas usual capacity with similar UAVs is usually between 2kg - 4kg, if tethered.

As they are powered by a cable, these drones benefit security operations in a temporary space including sports events or music concerts.

Some of Drone Evolution’s key clients including multi national property management company CBRE facilities management company Mitie, Caerphilly Borough Council, as well as delivering in-depth land surveys for EDF Energy’s windfarm projects.

This support from Investment Fund for Wales will enable Drone Evolution to further develop their product offering and the team will also be investing in marketing. It comes almost a year since the Investment Fund for Wales was launched in late November 2023 by the government-backed British Business Bank to boost the supply of early-stage finance to small and medium-sized businesses across Wales.

The Investment Fund for Wales was established to provide the financial backing that innovative and ambitious companies like Drone Evolution so often need and we are particularly pleased to support their expansion plans as they continue to scale.

The Drone Evolution team is highly experienced, driven and passionate about this specialist, emerging sector, and they have already developed an impressive roster of clients. I’m looking forward to hearing more about what they do next following this significant investment.

- Mark Sterritt Director, Nations and Regions Investment Funds, British Business Bank

Drone Evolution is an ambitious, growing business with a passionate management team. Over the last few years, the team has grown a successful drone services division whilst also developing a range of products. Foresight’s investment via the Investment Fund for Wales will help the company to further scale and in turn have a positive impact on the local economy through the creation of skilled jobs. We are delighted to be supporting Drone Evolution and look forward to partnering with the team on their exciting growth journey.

- Ruby Godrich Investment Manager in the Private Equity team at Foresight

Further Information

If you are a journalist and have a media enquiry, please contact mediaenquiries@british-business-bank.co.uk.

Notes to editors

About the Investment Fund for Wales

Operated by the British Business Bank, the Investment Fund for Wales (IFW) provides a mix of debt and equity funding. IFW will offer a range of commercial finance options with smaller loans from £25k to £100k, debt finance from £100k to £2m and equity investment up to £5 million. It works alongside the various support and funding organisations from Welsh Government as well as local intermediaries such as accountants, fund managers and banks, to support Wales’ smaller businesses at all stages of their development.

The funds in which the IFW invests are open to businesses with material operations, or planning to open material operations, in all areas of Wales, including but not limited to North Eastern Wales, North Western Wales, Mid Wales, South West Wales and South East Wales.

Supported by Nations and Regions Investments Limited, a subsidiary of British Business Bank plc, the Bank is a development bank wholly owned by HM Government. Neither Nations and Regions Investments Limited nor British Business Bank plc are authorised or regulated by the Prudential Regulation Authority (PRA) or the Financial Conduct Authority (FCA).

www.investmentfundwales.co.uk

About Foresight 

Founded in 1984, Foresight is a leading investment manager in real assets and capital for growth, operating across UK, Europe, and Australia.

With decades of experience, Foresight offers investors access to attractive investment opportunities at the forefront of change.  Foresight actively builds and grows investment solutions to support the energy transition, decarbonise industry, enhance nature recovery and realise the economic potential of ambitious companies.

A constituent of the FTSE 250 index, Foresight’s diversified investment strategies combine financial and operational skillsets to maximise asset value and provide attractive returns to its investors. Its wide range of private and public funds is complemented with a variety of investment solutions designed for the retail market.

Foresight is united by a shared commitment to build a sustainable future and grow thriving companies and economies.

Visit https://foresight.group for more information.


Advisers to Foresight:

Financial Due Diligence by Barford Owen Davies
Legal advice by Geldards and
Advisors to Drone Evolution:
Legal advice by Capital Law