Investment group Par Equity has sold its stake in Edinburgh-based Symphonic Software yielding an 8.3 times return for its investors.
The sale, along with other investors, raised $31m producing the return over two EIS rounds over a period slightly less than seven years, with Par’s earliest investors securing a 9.5 time return on their investment.
Symphonic provides software that enables organisations to identify what information they are entitled to see.
Its uses include allowing a doctor to check whether a patient had given authorisation for a hospital doctor to see medical notes held at their GP surgery.
Symphonic was acquired by Denver-based Ping Identity, which works with big companies too help them provide their users with secure, personalised and streamlined user experiences.
Symphonic’s products wil allow Ping Identity’s customers to move from real time authentication to globally managing each identity’s authorisations.
This extra layer reviews the user’s entitlements to access particular sorts of information by checking authorisations, consents and other risk factors.
Symphonic will provide the caability to easily integrate all consents and entitlements into a unified view.
The demand is only likely to grow as companies seek to comply with new and evolving data privacy laws.
Symphonic was spun-out of Edinburgh Napier University in 2014 and received its first round of investment from Par Equity.
After gaining its first clients in healthcare, and following three further funding rounds from Par, the company has grown to 28 employees.
Its customer base today has broadened to banking, pharmaceuticals and FMCG, spanning the UK, Europe, Australia and North America.
All of Symphonic’s employees have transferred to work for Ping Identity and will continue to be based in Edinburgh.
Symphonic CEO Derick James said: “The first thing I need to say is thank you to Par Equity. The guidance and support they have provided to Symphonic over the past seven years has been invaluable.
“On day one they provided our team with support that was key to identifying directors and board advisers as the business grew.
“We are delighted to join the Ping Identity family. They are leaders in identity with an impressive global customer base which will provide an excellent opportunity to expand the adoption of Symphonic’s software.
“The highly-skilled team at Symphonic has bright futures as Ping Identity employees.”
Par Equity partner Paul Atkinson saud: “Symphonic illustrates what Par Equity is all about.
“The opportunity was identified by Richard Lewis, a member of our Investor Network, who, with his colleagues has supported the founders with in-depth expertise ever since.
“Building on our investments, their hard work has resulted in the creation of a successful company that will remain in Edinburgh after the sale and continue to deliver its innovative technology to a global audience.
“Par Equity is in the business of making high quality investments that yield excellent returns. Our investors can have no doubts that this is what we have done once again.”