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26
Oct
Entrepreneur saves jobs by buying back Harrogate business he founded
A Yorkshire entrepreneur has saved 22 jobs in Harrogate by buying back the company he founded, five years after selling it.
Gary Martin has bought the hardware business and assets of Chameleon Technology out of administration, securing the future of its smart meter display operations.
Mr Martin originally founded and funded Chameleon Technology in 2010, but stepped away from the business following a management buyout.
The acquisition was completed today (Monday, October 26) for an undisclosed sum through Verve Energy Technology, a privately funded company backed by fresh investment.
The deal will safeguard 27 jobs in total, including engineering, commercial and customer support roles, and will see the business relocate to new offices in central Harrogate while retaining a team in Hong Kong. It will also secure the future supply of in-home displays used by millions of households to monitor their energy consumption and spending.
Mr Martin said:
I founded Chameleon because I believed people should have better information about how much energy they use and what it costs them. That matters even more today, especially when so many households worry about their energy bills.
When the opportunity arose to rescue the hardware business, my first priority was to protect as many jobs as possible and keep the expertise we have built here in Yorkshire. We have a talented team who know these products and our customers inside out.
We now have the investment to get the business back on its feet, support our energy company partners and make sure households can continue to benefit from our technology.
12 million devices
Chameleon Technology has been one of Britain’s leading suppliers of in-home displays, the small screens supplied alongside smart meters that allow consumers to see how much gas and electricity they are using.
The company has supplied more than 12 million devices and estimates that over 20 million people, living in more than a third of British homes, have access to its displays. Its customers include some of the UK’s biggest energy suppliers, including British Gas, EDF, E.ON, Octopus Energy and OVO.
Mr Martin led Chameleon through its early development and the expansion of the national smart meter programme before leaving following a management buyout in December 2020. Under subsequent ownership, the company expanded into software, data analytics and other markets.
Administrators appointed
However, the business ran into financial difficulties, and administrators were appointed. The rescue deal covers Chameleon’s hardware operations, including its in-home display products, manufacturing assets and associated expertise. It does not include the company’s software and data business.
While 27 employees have transferred to Verve Energy Technology, other staff had already been made redundant before the acquisition. The rescued business will concentrate on supplying smart meter hardware to energy companies, and there are plans to restart production of its IHD3 and IHD7 displays.
Fresh funding
Kyle Brown will lead commercial operations, supported by members of the existing engineering and customer service teams and some of Chameleon’s original management team.
Fresh funding has been secured to support manufacturing, fulfil outstanding customer orders and invest in future growth.
Mr Martin added:
There has been a difficult period of uncertainty for employees and customers. We cannot change what has happened, but we can give the business a fresh start.
Saving these jobs is hugely important to me, and we have retained people with years of experience who helped make Chameleon a successful Yorkshire technology business.
The business plans to work with its established manufacturing partners to resume production and maintain support for devices already installed in homes.
Martin Allison, of Rosedale Advisory, which supported Mr Martin and the management team on the acquisition, said:
Chameleon has a talented management team, a strong track record and products that are already used in millions of homes across Britain. We were pleased to support Gary in securing the future of the hardware business and protecting skilled jobs in Harrogate.
With fresh investment and a clear focus on its core products, the business has considerable potential to scale in a growing market as energy suppliers and consumers look for better ways to monitor and manage energy use.
The administrators were S&W, with legal advice provided by Mishcon de Reya. Mr Martin and the management team were advised by Wilkin Chapman Rollitts and Rosedale Advisory.
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