Wellington, New Zealand: Institutional investor Rangatira Limited (Rangatira) today announced that it has increased its stake in Magritek, world leading provider of benchtop NMR and MRI instruments.
Last year Rangatira, the Wellington-based investment company, acquired a 12% stake in Magritek for an undisclosed sum. As part of that transaction, Rangatira entered into a conditional undertaking to provide further capital and lift its stake to 18%, subject to Magritek hitting certain milestones.
Rangatira chief executive Phil Veal said, “This investment reflects our aim to invest in growing, internationally competitive New Zealand businesses. Magritek is a great New Zealand company with strong prospects for sustained growth.”
The capital will strengthen Magritek’s balance sheet and enable the company to increase its investment in offshore sales and marketing in order to capitalise on the success of its new SpinsolveTM Benchtop NMR spectrometer, which was launched last year.
Magritek chief executive Dr Andrew Coy said, “Magritek has achieved significant revenue growth on the back of sales of SpinsolveTM.
“SpinsolveTM is a unique offering in that it provides the market with fast, accurate NMR analysis of liquid samples, in a convenient package, at a very competitive price. The academic community were early adopters with initial sales to universities in Australia, Europe and the USA. More recently, we have attracted strong interest from industry customers, such as the pharmaceutical and food industries who appreciate the instrument’s unique benefits for reaction monitoring and quality control with its ability to deliver superb spectra in seconds.
“Rangatira’s investment provides the means to invest further in our sales capability, and capitalise on the interest in our powerful, portable MRI and NMR technology. This second tranche of capital allows us to add further fuel to the tank and accelerate revenue growth and market share.”
Magritek produces a range of MRI and NMR products including: the world’s only student-safe MRI teaching system the Terranova-MRI; the Kea compact spectrometer console; and its NMR Rock Core Analyzer product which provides hydrocarbon reservoir core analysis for the oil and gas sector.
The company’s main markets are currently Europe and the United States, each accounting for 40% of the company’s revenues. However, the company is forecasting significant growth in Asia in the near future.