Electric motor business secures latest round of funding with support from Sintons
A university spin-out based in the North East has completed a funding round for £1.9m, supported by specialist advisors at law firm Sintons.
The new funding takes the total secured in the last year to over £5m. AEM has also secured collaborative research and development projects worth over £16m, starting product development programmes with over 25 organisations including Bentley Motors and CNH International.
The business has recently moved to a new 1,200sq m facility in Washington capable of building 50,000 motors.
After receiving its first large commercial order, AEM is now working on opportunities across four continents and six different sectors including automotive, aerospace, marine and energy.
The latest funding round was led by Northstar Ventures, which has invested £750k from the North East Innovation Fund, supported by the European Regional Development Fund, and will support the next phase of growth. Specialist advisors at law firm Sintons acted for AEM on the investment.
Professor James Widmer, chief executive of AEM, said: “This latest investment raised almost 60 per cent additional capital above the original target, it will allow AEM to invest in our design and manufacturing capability more quickly than we expected.
“We are grateful to Northstar, Saker, Tevva and the many small investors who are now supporting us in our vision of manufacturing the most sustainable electric motor technologies on the planet here in the UK.”
“AEM are a hugely dynamic and ambitious business with great potential and this latest round of funding will help them achieve their next level of development. This is an exciting phase for the business and we are delighted to continue to be able to support them,” he said.
Alex Buchan, investment manager at Northstar Ventures added: “Electrification is a key enabler for many sectors and we have real strength in the technologies that will drive it here in the region.
“We are pleased to be able to support one of the UK’s rising stars in electric motor design and manufacture and help them create jobs in the North East.”