Digital vs Dyslexia
M&A-driven expansion of an assistive technology software business from Norway into Northern Europe
We invested in Lingit, Norway’s leading developer of assistive software for dyslexia and reading/writing disabilities, as part of a Norwegian software portfolio deal in 2017. Founded in 2001 by leading academics from the Norwegian University of Science and Technology (NTNU), Lingit’s unique competence in combining linguistic expertise with interface integration, product quality and user experience had led it to become the clear market leader in Norway with a 95% market share.
An estimated 10-15% of the global population have some form of reading and writing difficulty, and around 5-10% have dyslexia. Lingit’s growth potential is underpinned by a rise in assistive technology stemming from an increasing degree of openness around dyslexia, a broader focus on equal opportunities and the digitalisation of school systems. Lingit needed an investor that could help it grow across new consumer segments in its home market, expand geographically through M&A across Northern Europe and coach management on how to scale their operations in sync with the firm’s organic growth.
Verdane’s Northern European profile and international reach have played a significant role in bringing us to where we are today: providing assistive software tools to support people with reading and writing disabilities in many European countries.
Value creation initiatives
Securing key talent for the firm’s growth journey
- Addition of software and geographic expansion experience to management team, including hiring of a new CFO to support growth agenda
- Implementation of a management incentive program
Capturing opportunities for organic and inorganic growth
- Acquisition of assistive technology firm Claro in 2018 to kick-start UK expansion
- Cloud technology development for software deployment across devices, and creating a more data and analytics focused platform
- Driving strategy to support expansion into new geographic markets and exploring potential growth opportunities in the school and corporate market
Since investment in 2017, Lingit has trebled revenues and EBITDAC. Organic growth reached 27% in 2018 for the group, including Claro Software.