Scottish Equity Partners has completed a significant growth equity investment in Pelion, the global Internet of Things (IoT) connectivity business, headquartered in Glasgow. The funding will enable the company to grow independently, and invest further in product development, sales and customer support.
Pelion has developed a leading global connectivity management platform enabling enterprise customers to connect end devices to applications through cellular connectivity. Its 500 customers span a wide range of sectors, including industrials, utilities, transport and logistics, and healthcare. Use cases supported by the Pelion platform include infrastructure monitoring, connected industrial equipment, vehicle telematics, remote building access and patient monitoring.
As a technology-led business, Pelion has already made significant investment into its connectivity management platform, secure end-to-end network and global eSIM offering. With SEP’s funding, it plans to continue developing its platform in order to maintain technical leadership, while adding additional resources to key commercial functions and supporting business momentum.
David Weidner, CEO of Pelion, commented, “This investment sets us well to accelerate our growth as an independent business. Pelion is at the forefront of the IoT connectivity market, serving a multitude of customer use cases around the globe, and we are excited to be embarking upon the next stage of our journey. The investments made into our technology and products over the past five years make us an ideal partner for any enterprise seeking to utilise IoT to drive their business outcomes.”
Tim Ankers of SEP added, “We are excited to partner with Pelion. It has built a leading connectivity management platform addressing a multi-billion-dollar market opportunity, and the number of cellular connected devices is forecast to grow exponentially. Pelion’s platform simplifies the complex ecosystem for enterprise customers and, with its strong reputation for technical excellence and customer support, we believe it is well placed to benefit from this trend.”
The global IoT market is projected to grow rapidly, with IoT applications being a driver of digital transformation across multiple industries. Gartner, a technology research organisation, estimates that IoT related spend on cellular connectivity will grow from $36 billion in 2020 to $62 billion in 2026, representing an 11% annual growth rate. Secure and reliable cellular connectivity is mission-critical to support IoT applications, with enterprise customers seeking platforms that can service their increasingly complex requirements.