Mercia became an AIM-listed company on the London Stock Exchange in 2014. It provides capital across four asset classes – venture, private equity, debt and proprietary capital – which it describes as the Group’s ‘complete connected capital’. Mercia initially nurtures businesses through its third-party funds under management, before, over time, providing further funding to the most promising companies by deploying direct follow-on investment capital from its own balance sheet.

Mercia invests solely in domestic UK businesses with relatively modest capital requirements (typically less than £30 million over their entire growth journey to exit), seeking to back ambitious business owners who are initially looking for between £250,000 and £10 million of investment.

In the financial year ending 31 March 2025, Mercia continued to deliver strong performance, with total assets under management rising to approximately £2.0 billion, up from £1.82 billion in the previous year. Revenue increased to £35.2 million (FY 2024: £30.4 million), while the Group returned to profitability, reporting a profit before tax of £5.4 million compared with a loss of £8.2 million in the prior year. Mercia also maintained a robust financial position, with cash and cash equivalents of around £40.1 million at year end and no debt on its balance sheet.

During the year, Mercia continued to expand its third-party funds under management, with venture funds reaching approximately £928 million and debt funds around £850 million. The fair value of its direct investment portfolio stood at £126 million. The Group also introduced a share buyback programme of up to £3.0 million and proposed a final dividend of 0.58 pence per share (FY 2024: 0.55 pence).

Mercia’s overarching strategy remains to make a positive impact through investment in purpose-led companies. It has a strong investment track record across the life sciences, digital and deep tech sectors, with the majority of its investments located outside London. The firm maintains a physical presence in Birmingham, Manchester, Sheffield, Leeds, Bristol, Newcastle and London, ensuring that its investment teams are within two hours of their portfolio companies. Its network is drawn from universities, the corporate finance community, non-executive groups and operational or sector partners.

Its three Northern Venture Capital Trusts (VCTs), alongside its Enterprise Investment Scheme (EIS) and regional funds, continue to operate in the pre-Series A space. Notable scale-ups supported by Mercia include the social-impact platform Social Value Portal and the audio-technology firm Warwick Acoustics.

Mercia also provides a range of support for its portfolio companies. It recently launched a fully funded programme entitled ‘Rise & Thrive: Navigating Investment as Women Entrepreneurs’, comprising a series of four half-day workshops designed to support 80 female entrepreneurs on their investment journeys.

Mercia Asset Management website