Powerlase is a developer and manufacturer of high power lasers for industrial materials processing to various markets including solar cells and flat panel displays. In addition Powerlase is developing a product in an emerging market sector - an extreme ultra violet (EUV) light source for the next generation of lithography tools for the semiconductor market. Originally a spin out from Imperial College, when FirstCapital got involved in 2003 it had raised funds from institutional investors as well as angels to bring its products to market.

To support the company’s growth, the company needed to raise new funds, and selected FirstCapital after a competitive process. We focused on identifying the exit opportunities in order to build the investment case, and also on preparing suitable materials, supported by detailed market analysis, to support the company’s two separate business opportunities.

A range of investors were approached in Europe and the US, multiple term sheets were secured and a lead investor was identified. However at the 11th hour, the lead investor dropped out and we needed to restart the process. FirstCapital intermediated between all stakeholders to keep everyone on the same page, and focused on keeping things moving through to a close. This was a challenging but ultimately successful process, and the company raised £7mn from a diversified group of European investors, closing on Christmas Eve 2003.

www.powerlase.com

Testimonials

"FirstCapital had good contact with a wide range of international VC's and stayed focused on the process from start to finish. Success depended on keeping the management team and existing investors working together while coordinating the requirements of three new investors. The fact that we were working with the same people throughout, and their skill at structuring the necessary compromises, made this possible. We enjoyed our working relationship with FirstCapital. They were a key component in the deal's eventual success."
Brian Long, Chairman, Powerlase