A Scottish company promoting the fast-growing tennis/squash hybrid game of padel has raised a further £3 million to help it smash its UK expansion plans.
Game4Padel, which has been backed by Sir Andy Murray, has also received approaches from potential partners to expand overseas.
However, chairman Jim McMahon has said the “focus remains on the UK market”.
Former Wimbledon and US Open champion, Sir Andy Murray invested an undisclosed amount in the company in 2019.
Game4Padel funding round largest yet
The latest investment round – the firm’s largest to date – saw a near doubling of Game4Padel’s enterprise value in just three months, to £18 million.
A mix of debt and equity capital was provided by retail and institutional investors and comes after it raised more than £1.3m in August 2021 at a £10m valuation.
Its first two fundraising exercises, in March 2019 and March 2020 respectively, raised a combined £1.25m, meaning the company has raised £5.5m in total since it was founded at the end of 2018.
Mr McMahon said: “We have had a number of interesting approaches from potential partners keen to collaborate in multiple countries in Europe and further afield.
“As encouraging as it is to be gaining recognition abroad, we will take a measured view over time depending on market potential, existing competition, and the strength of those potential partners in the relevant locations.
“For now, we remain focused on the UK market, where there is more than enough work in the pipeline to keep us busy.”
Plans for new courts in Scotland
Game4Padel is due to open a new court in Dundee’s Forthill in Spring this year.
The Edinburgh-headquartered company is also in advanced discussions with more than 30 other UK sites, which it anticipates will add more than 50 additional courts to its 18 existing or secured venues.
It also hopes to further build 300 new courts within the next five years.
New hires to keep company growing
The company has made three recent hires, as well as reorganising an executive team led by chief executive Michael Gradon, a former FTSE 100 director with P&O Group and a longstanding commercial and finance chairman of the Wimbledon Championships.
Peter Gordon and Vincent Hivert, two of the company’s co-founders, have been promoted to chief operating officer and growth & participation director, respectively.
James Rose has joined the company as national development manager and David Taylor, a former investment sector professional, joins the team as a part-time analyst.
Carol Milligan, whose background is in the publishing industry, takes on the new role of executive assistant.
Mr Gradon said: “James has more than 20 years’ professional experience of the global tennis industry and joins us after eight years as director of tennis coaching at the renowned La Manga Club in Spain.
“He is already making an impact. Likewise, David and Carol each bring energy and experience to the team at a crucial time in our growth and they will help ensure we capitalise on the many opportunities we are pursuing currently to grow our business and padel’s profile in the UK.”