Harper Macleod is delighted to have advised Glasgow-headquartered space tech startup R3-IoT as it secured a £3.1 million investment as it prepares to expand internationally.
The satellite-enabled connectivity start-up closed a seed investment round led by US-based VC Space Capital, joined by the Scottish National Investment Bank.
Other investors include the University of Strathclyde, alongside North American-based Ryan Johnson, former CEO of BlackBridge, Nathan Kundtz, CEO of Rendered.ai, and Loren Padelford, former GM of Revenue at Shopify. Scottish Enterprise also become shareholders and continue to support the company.
Led by space technology experts Allan Cannon and Kevin Quillien, R3-IoT addresses challenges organisations face in digitising business operations, products, and services due to a lack of, or unreliable communications infrastructure.
Focused on the market gap underserved by the current space race, R3-IoT aims to provide value extending beyond connectivity. The company’s full-stack digital platform - combining satellite, cellular, IoT and data analytics - provides organisations with end-to-end data services from any location, regardless of existing infrastructure.
Paula Skinner, the lead Partner in Harper Macleod’s corporate entrepreneurs, startup and investment team, advised on the deal along with Senior Solicitor Natalie Wallace.
Paula said: “R3-IoT is an exciting business that we have advised from the very start of their journey and it’s great to have helped them seal such a ‘game-changing’ deal. As advisers we are all about building long-terms relationships and helping businesses achieve their goals. I am sure this will see the company move to the next level and it is great to see a Scottish-based success story in a sector which holds so much potential.”
Allan Cannon, CEO and Co-Founder of R3-IoT said: "The funding round is clear recognition of the potential for our platform to broaden the reach of existing satellite technologies by focusing on what has been, up until now, the ‘missing piece’ in digitisation.
“We have ambitious plans and are in a strong position to accelerate our international growth strategy and take advantage of the rapid advances in space communications and IoT technology, from our base in Scotland. The investment will drive continued innovation and commercialisation of our technology ahead of market launch and help establish North American operations, where we are already seeing strong demand.”
The company’s expansion plans will also see 20 new roles created over the next eighteen months in its engineering, technical, sales and marketing functions.
Harper Macleod’s team advised on the investment, as did US-based legal firm Wilson Sonsini.