NVM Private Equity has sold IT services firm e-know.net to the AIM-listed cloud computing provider Nasstar for £13m.
The Newcastle-based fund said the sale represents a significant return on the original investment in the firm, which was established by David Redwood, an experienced entrepreneur at the height of the technology boom, in 2000.
In 2004, NVM invested £1.5m in e-know.net to help Redwood continue to invest in technology infrastructure to expand the range of services offered.
He will now take on the role of the group’s deputy chairman.
Martin Green, managing director of NVM Private Equity, said: “We are delighted with our investment and successful sale of e-know.net.
“David Redwood and his team have developed a powerful hosted desktop proposition over the years, and it is now the right time for them to attract a wider client base.
“One of the key drivers to e-know.net’s success has been the team’s clear focus on providing a high quality service to long-standing clients.
“For NVM, there was no better way to understand a portfolio company’s client needs than to become a customer, and our transition to e-know.net’s cloud-hosted IT environment has proved to be a great success. We have no doubt that David and his team will continue to evolve in the new group.”