London music and audio supplier announces £12.6m acquisition

A London music and audio supplier has announced the £12.6m acquisition of a UK-based designer and manufacturer of professional audio equipment.

Focusrite plc, supplies hardware and software to professional and amateur musicians and the entertainment industry. The acquisition of Linea Research Holdings Ltd will be funded through a combination of existing cash resources and a drawdown of existing facilities with HSBC and NatWest.

Linea, headquartered in Letchworth Garden City, UK was formed in 2003 by a team of experienced professional audio specialists, and they design, develop, manufacture and market innovative professional audio equipment globally. Two of the original founders, Davey Smalley and Ben Ver will continue to lead the business post-acquisition.

Focusrite’s subsidiary Martin Audio, is a significant customer of Linea. By extending the business into new products and markets, which complement its existing offerings, the acquisition is strategically aligned with the Group’s previously communicated aims of growing the core customer base, expanding into new markets, and increasing lifetime value for customers.

Tim Carroll, chief executive officer, Focusrite, said: “It is an absolute pleasure to welcome Davey, Ben and the entire Linea team to the Focusrite Group. We know the team and the business well given that Martin Audio is a major Linea customer. This will lead to many synergies and is expected to improve gross margin for both Martin Audio and the wider Group.

“Linea’s products are globally recognised as best in class and we are all excited about the opportunities and possibilities that lie ahead with the collective expertise of the Linea and Focusrite Group R&D and sales teams.”

Davey Smalley and Ben Ver, directors at Linea commented: “We are delighted to be able to continue the Linea success story from within the Focusrite Group.

“Having seen the support and growth of the brands within the Group, we believe this provides us with a secure foundation to further our R&D efforts and product portfolio, strengthening the Linea brand while continuing partnerships with our long-standing OEM partners.”