NEW YORK — eBay Inc. shares traded near $110 Wednesday as investors weighed whether to buy, sell or hold the stock in 2026 following robust first-quarter results and the swift rejection of GameStop’s unsolicited $56 billion takeover bid.

The online marketplace reported strong Q1 2026 performance on April 29, with revenue reaching $3.1 billion, up 19% year-over-year on an as-reported basis and 17% on a foreign-exchange neutral basis. Gross merchandise volume climbed 14% to $22.2 billion, while non-GAAP earnings per share hit $1.66, beating estimates by 5%. The company raised its full-year outlook, signaling confidence amid macroeconomic uncertainty.

eBay’s board formally rejected GameStop’s May 3 proposal for $125 per share — half cash, half stock — on May 12, calling it “neither credible nor attractive” due to financing uncertainties, operational risks and governance concerns. The decision removed immediate takeover premium but left shares elevated on solid fundamentals and potential for strategic alternatives.

Wall Street’s consensus leans “Hold.” Of roughly 30 analysts covering the stock as of mid-May, ratings split with about 14 Buy, 18 Hold and a handful Sell. The average 12-month price target sits around $106 to $115, implying modest downside or limited upside from current levels near $110. Highest targets reach $130; lowest dip to $65.

Positive drivers include eBay’s focus on recommerce, AI-powered tools, advertising growth and international expansion. First-party advertising revenue jumped 33% in Q1. The company continues returning capital aggressively, repurchasing $500 million in shares and paying $139 million in dividends during the quarter. Its Climate Transition Plan and investments in live commerce and authenticated goods position it for sustainable growth.

Challenges persist. eBay faces stiff competition from Amazon, emerging platforms and shifting consumer habits. Valuation concerns have emerged after the recent rally, with some analysts downgrading to Hold citing stretched multiples. Macro headwinds, including inflation and geopolitical tensions, could pressure GMV growth. The rejected bid introduces short-term volatility, though many view it as a distraction from core execution.

Technical signals remain mixed but lean positive in the short term. The stock has gained on three consecutive days as of May 12, supported by rising volume and buy signals from moving averages. Analysts project potential 3-month gains toward $128-$142 in optimistic scenarios, though broader 2026 forecasts range from $86 to $120 depending on the model.

For buyers, the case rests on eBay’s resilient business model and capital return program. At current levels, the dividend yield hovers near 2%, with consistent increases over seven years. Free cash flow generation remains healthy, supporting further buybacks or potential special returns. Long-term bulls highlight AI innovations and marketplace enhancements as catalysts for mid-single-digit growth.

Sellers or cautious holders point to limited organic growth potential and execution risks. Some models forecast only modest total returns through 2030 absent a major catalyst. The failed GameStop bid highlights governance and financing hurdles for transformative deals, potentially capping near-term multiple expansion.

Institutional ownership remains solid, though activist pressure could resurface if performance falters. Ryan Cohen’s GameStop has built a 5% stake and may pursue a proxy fight or revised approach, adding event-driven upside risk. However, eBay’s board has expressed strong faith in its independent strategy.

Broader market context favors selective buying in e-commerce. While growth stocks face rate sensitivity, eBay’s defensive qualities — established user base of 136 million active buyers and diversified revenue — provide ballast. International exposure, representing about 44% of revenue, offers diversification but also currency volatility.

Analysts recommend a balanced approach. Conservative investors might wait for pullbacks toward $100-$105 support levels before initiating positions. Growth-oriented traders could view current momentum as an entry point if Q2 guidance holds. Long-term holders benefit from the dividend and potential for strategic acquisitions, such as the pending Depop deal.

Risks include regulatory scrutiny on marketplace practices, intensifying competition in secondhand goods and potential economic slowdowns affecting discretionary spending. On the upside, successful AI integration, live commerce expansion and stronger advertising could drive beats and re-rate the stock higher.

Portfolio allocation matters. eBay suits income-focused or value-oriented accounts rather than high-growth aggressive strategies. Diversification across tech and consumer sectors mitigates single-stock risk. Options strategies or covered calls can enhance yield for moderate bulls.

As 2026 progresses, eBay’s trajectory depends on execution amid evolving retail dynamics. The company has proven resilient post-pandemic, consistently delivering when macro conditions stabilize. Whether the GameStop episode becomes a footnote or sparks renewed interest remains uncertain.

For now, the consensus tilts toward cautious optimism. Neither a screaming buy nor urgent sell, eBay offers a stable e-commerce play with capital return appeal. Investors should monitor Q2 results, any further takeover developments and macroeconomic indicators before committing capital. The stock’s fate in 2026 will hinge on whether fundamentals can sustain the post-bid glow or if valuation gravity pulls it lower.

Britain’s ambitions to lead the global race for driverless cars took a significant step forward today as the Government inked a formal partnership with Wayve, the London-headquartered artificial intelligence scale-up that has emerged as the country’s standard-bearer in autonomous vehicle technology.

The Memorandum of Understanding, signed between Wayve and the Department for Business and Trade, is designed to deepen collaboration on next-generation self-driving systems and underpin the company’s continued expansion on home soil, a notable vote of confidence at a time when many of Britain’s most promising tech firms have been lured across the Atlantic by deeper pools of capital.

For the SME and high-growth community, the deal is being read as a barometer of Whitehall’s willingness to back homegrown champions with more than warm words. Under the agreement, Government and industry will pool research interests around the responsible deployment of automated vehicles, with the explicit aim of converting Britain’s world-class AI research into commercial reality on its roads, in its factories and across its supply chains.

Officials hope the partnership will act as a catalyst for fresh investment, skilled employment and long-term growth across an automotive ecosystem that has been buffeted in recent years by the transition to electric vehicles, supply-chain disruption and intensifying competition from China and the United States. The signal to international investors, ministers insist, is unambiguous: the UK is open for business and intends to be the destination of choice for ambitious technology companies looking to scale.

Business Secretary Peter Kyle said the agreement demonstrated how the Government’s Modern Industrial Strategy was being put into practice. “This partnership with Wayve shows how government is backing high-growth British scale-ups through our Modern Industrial Strategy to turn world-leading research into real-world deployment,” he said. “By working hand-in-hand with innovative companies, we are accelerating self-driving technology while anchoring jobs, investment and manufacturing here in the UK, making Britain the best place to start, scale and grow a business.”

Alex Kendall, Wayve’s co-founder and chief executive, struck a similarly bullish tone. “I’m delighted to deepen our collaboration with the Department for Business and Trade. We share the Government’s ambition to drive economic growth through the development of the self-driving vehicle sector in the UK and globally,” he said. “Strengthening domestic capabilities will anchor high-value manufacturing in the UK, create thousands of skilled jobs across the supply chain, and support the future of the automotive industry. This is in addition to the transformative benefits to road safety to be gained from self-driving vehicles deployed at scale.”

Founded in 2017 and now one of Britain’s most valuable AI businesses, Wayve has established itself as a pioneer of so-called “embodied AI”, training vehicles to learn from experience rather than relying solely on hand-coded rules and high-definition mapping. The company’s investor roster reads like a who’s who of global capital, and its decision to keep its centre of gravity in the United Kingdom has become a touchstone for the broader debate about retaining home-grown intellectual property.

Science and Technology Secretary Liz Kendall described Wayve as “a true British AI success story, putting the UK at the forefront of self-driving technology.” She added that the agreement would “help secure high-skilled tech and advanced manufacturing jobs in this country” and send a clear signal that “the UK is the best place for ambitious tech firms to start up and scale up.”

The substance of the MoU is squarely aimed at moving automated vehicles beyond the prototype phase and into commercially viable services on British roads. Joint workstreams will cover safety assurance, large-scale simulation and the integration of full self-driving capability into production-ready vehicle platforms, areas where Britain has long held latent expertise but has often struggled to commercialise at pace.

The partnership also reinforces the Government’s ambition to position the UK as a global hub for automated vehicle manufacturing, strengthening domestic supply chains in artificial intelligence, systems integration and advanced automotive hardware. Wayve, for its part, has agreed to share insights from real-world trials with ministers and regulators, providing the empirical foundation for the rules and standards that will govern a national roll-out of self-driving services.

For an automotive sector in the throes of structural reinvention, the implication is significant. Closer collaboration between industry, Government and local partners is intended to revive and evolve British vehicle manufacturing, demonstrating that fast-growing companies can scale at home rather than relocating overseas in search of supportive policy and patient capital.

The announcement comes against the backdrop of the Modern Industrial Strategy, which Whitehall says has already crowded in private investment into priority growth sectors. The Government points to roughly £360 billion in investment commitments, £33 billion in export announcements and 120,000 jobs secured since publication, figures that ministers will be keen to translate into a wider narrative of economic renewal as the political cycle wears on.

For founders, investors and SME leaders watching from the sidelines, the lesson is straightforward enough. When Government and a scale-up of Wayve’s calibre line up around a shared industrial agenda, the message is that Britain intends to compete at the sharpest end of the technology frontier, and that the long-promised marriage between policy and enterprise may, finally, be moving from theory into practice.

Amy Ingham

Amy is a newly qualified journalist specialising in business journalism at Business Matters with responsibility for news content for what is now the UK’s largest print and online source of current business news.

LOS ANGELES — As 2026 unfolds, pop titans Taylor Swift and Olivia Rodrigo are on divergent paths that could reshape their dominance in the music industry, with Swift embracing a deliberate slowdown amid personal milestones while Rodrigo gears up for a high-stakes year anchored by a major new album and arena-conquering tour.

Swift, 36, remains one of the most powerful figures in music even during a relative breather. Sources confirm she has another record — widely speculated as TS13 — in the creative stages, but with no pressure for an imminent release. Insiders emphasize her focus on personal life, including wedding plans with Travis Kelce and enjoying a lighter chapter after the record-breaking Eras Tour.

The “Life of a Showgirl” era from late 2025 was intentionally designed as a fun, low-commitment project without plans for a full-scale tour. Swift has explicitly shut down immediate touring rumors, telling fans the Eras experience was once-in-a-lifetime. Instead, 2026 may feature special releases tied to her debut album’s 20th anniversary in October, vault tracks or limited vinyl drops rather than a blockbuster rollout.

Rodrigo, 23, is primed for a breakout year. Her third studio album, you seem pretty sad for a girl so in love, drops June 12, following lead single “Drop Dead,” which has already made strong chart impressions despite occasional competition from Swift’s catalog surges. The project promises new sounds and stories, with Rodrigo drawing inspiration from her time in London and exploring joyful yet bittersweet love themes.

The Unraveled Tour, announced in late April, spans 65 dates across North America, Europe and the UK from September 2026 into May 2027. Supporting acts include Wolf Alice, The Last Dinner Party and others. Multiple-night stands in major markets signal massive demand, positioning Rodrigo as a live force capable of filling arenas consistently.

Metrics highlight the contrast. Swift’s catalog continues generating enormous streams and cultural impact, with older tracks surging on playlists and viral moments. Her fanbase, Swifties, delivers unmatched loyalty and sales power even without new music. Rodrigo, however, benefits from Gen Z resonance and the freshness of a new era, building on the success of Sour and Guts.

Industry observers give Rodrigo the edge for raw activity in 2026. A June album release followed by a fall tour creates sustained visibility through summer promotions, festival appearances and media cycles. Swift’s lower profile may include Songwriters Hall of Fame honors or film projects, but lacks the chart battles and ticket frenzy expected from Rodrigo.

Both artists share songwriting prowess and emotional authenticity that connect across generations. Swift pioneered the modern pop storytelling model that Rodrigo has amplified with younger, angsty perspectives. Their occasional chart clashes — such as Swift blocking Rodrigo on certain sales tallies — fuel fan debates and media headlines.

Commercial projections favor Rodrigo for year-over-year growth. Her tour could generate tens of millions in revenue while introducing the new album to live audiences. Swift’s business empire — including catalog ownership, merchandise and brand partnerships — ensures steady dominance regardless of release cadence, but 2026 may not feature the chart-topping dominance of past eras.

Cultural impact remains Swift’s stronghold. Her influence extends beyond music into fashion, politics and social discourse. Rodrigo excels at tapping into Gen Z mental health and relationship narratives, potentially expanding her reach through acting pursuits or activism. Both drive streaming numbers, but Swift’s deeper catalog gives her staying power.

Challenges differ. Swift navigates expectations after historic success while prioritizing well-being. Rodrigo must deliver on high anticipation for her third album after two phenomenal debuts, avoiding sophomore slump narratives while scaling live production.

Fan communities amplify the rivalry. Swifties emphasize longevity and versatility; Livies highlight relatability and momentum. Social media polls and engagement often split by age demographics, with younger users leaning Rodrigo.

Broader industry trends support both. Streaming favors catalog depth (Swift advantage) while tours and new releases drive discovery (Rodrigo edge). 2026’s competitive landscape includes other major releases, but these two command disproportionate attention.

Rodrigo appears poised for the bigger “year” in traditional metrics — album sales, tour grosses and media saturation. Swift wins on sustained relevance and business scale, potentially setting up a massive 2027 return. The comparison underscores different career phases: veteran pacing versus rising star acceleration.

Ultimately, both elevate pop music. Fans benefit from their output regardless of who claims 2026 supremacy. As Rodrigo unleashes new music and fills arenas, Swift’s quiet creativity may yield gems that define the decade. The real winner is the audience witnessing two generational talents at work.

NEW YORK — VNET Group Inc. shares skyrocketed more than 30% in early trading Wednesday, surging to $11.74 as the Chinese data center operator announced a significant strategic investment that bolsters its balance sheet and accelerates growth in China’s booming AI infrastructure sector.

The Nasdaq-listed company, a leading carrier-neutral internet data center services provider, revealed that PJ Millennium I and II funds will acquire up to 650 million Class A shares from existing sellers at $1.4486 per share, equivalent to about $8.69 per American Depositary Share. The deal could give the new investors up to 38.1% ownership upon closing, expected in the fourth quarter of 2026, subject to regulatory approvals and other conditions.

Investor rights, lock-up agreements and voting pacts with founder Josh Sheng Chen aim to maintain stability and align interests. The transaction injects fresh capital and signals strong external confidence in VNET’s position amid surging demand for AI-ready data centers in China.

The move comes as VNET prepares to report first-quarter 2026 results on May 26. Analysts expect continued strength from wholesale data center demand and AI workloads, following robust 2025 performance where the company beat revenue guidance and projected 15.6% to 18.6% growth for 2026.

VNET has aggressively expanded capacity to meet hyperscale and AI-driven needs. Its wholesale segment utilization rates remain high, with significant pre-committed capacity signaling robust future revenue visibility. The company plans substantial capital expenditures of RMB 10-12 billion in 2026 to support new campuses and liquid-cooling infrastructure tailored for high-density AI computing.

China’s digital transformation and government push for technological self-reliance have created a tailwind for domestic data center providers. VNET’s carrier-neutral model offers flexibility to major cloud players and enterprises avoiding single-vendor dependency, positioning it well against competitors like GDS Holdings.

The strategic investment follows a turbulent period that included a discounted $137.7 million equity raise earlier in 2026, the resignation of former CFO Qiyu Wang and removal from Goldman Sachs’ Asia-Pacific Conviction List. Those events initially pressured the stock, but today’s announcement appears to have shifted sentiment toward growth optimism.

Volume spiked dramatically on the news, with shares changing hands at multiples of average daily levels. The rally erased recent losses and pushed the stock well above recent trading ranges, though it remains far below analyst price targets that average around $15-$18.

Wall Street has generally maintained constructive views. Jefferies and Bank of America have highlighted power reserve growth and AI demand as key positives. Consensus ratings lean Hold with upward revisions to targets reflecting improved liquidity and expansion plans.

VNET’s business model centers on providing colocation, managed hosting and cloud-related services through extensive facilities across China. Its focus on sustainable energy and advanced cooling technologies aligns with national carbon goals while addressing the intense power demands of AI training and inference.

Challenges persist in the sector. Regulatory scrutiny over data security, energy consumption and foreign investment remains a factor. Geopolitical tensions between the U.S. and China could impact technology supply chains, though VNET’s domestic focus offers some insulation. Leverage and capital intensity also require careful management, as evidenced by recent financing activities.

Broader market context supports the move. Global AI infrastructure spending continues its upward trajectory, with China emerging as a critical player despite export restrictions on advanced chips. VNET benefits from localized demand that is less exposed to U.S. sanctions compared to some peers.

For investors, today’s surge underscores the volatility inherent in Chinese tech names. While the strategic deal provides a catalyst, execution on capacity ramp-up and margin improvement will determine whether the momentum sustains. Upcoming earnings will offer fresh insights into utilization rates and AI contract wins.

Analysts project strong earnings growth over the coming years, with some forecasting EPS expansion exceeding 45% annually. Valuation remains attractive on forward metrics for a high-growth infrastructure play, though dilution from recent raises tempers immediate per-share gains.

The data center sector in China faces intense competition, but VNET’s scale, track record and now reinforced capital position provide competitive advantages. Management has emphasized disciplined growth, balancing expansion with financial prudence.

As trading continues, attention shifts to whether the stock can hold gains or if profit-taking emerges. Support levels from recent ranges and resistance near recent highs will be key technical markers. Longer-term, successful integration of new investors and delivery on 2026 guidance could pave the way for further rerating.

VNET’s story reflects larger themes in global technology: the insatiable appetite for compute power, the rise of AI infrastructure as a distinct asset class and the strategic importance of data sovereignty in major economies. For a company once known primarily as 21Vianet, the evolution into an AI-era enabler marks a significant chapter.

Investors considering exposure should weigh the high-growth potential against execution risks, regulatory variables and broader China macro factors. Today’s dramatic move highlights how quickly sentiment can shift on positive corporate developments in this dynamic sector.

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Somewhere in a damp Parisian hotel in October 1977, a young Geordie schoolteacher called Gordon Sumner picked up his bass, glanced at a faded poster of Cyrano de Bergerac in the foyer, leaned out of the window at the working girls below, and rattled off a small reggae-flavoured number about a prostitute he had never met.

He called her Roxanne. He spent, by most accounts, an afternoon on the thing. Possibly a long lunch. Certainly less time than I will have spent writing this column.

That song, in February 2022, helped Sting hand his entire songwriting catalogue, some six hundred tunes, to Universal Music Publishing for a reported $300 million. Roughly £240 million in real money. For lyrics scribbled on hotel notepads, in the back of tour buses, occasionally in the bath. Even allowing for inflation, alimony and the eye-watering price of his tantric retreats, it remains, in cold commercial terms, the single greatest example of “sweating the asset” I have ever encountered in business.

Consider the original economics. A pop song in 1977 was a perishable: three minutes of grooves pressed into a slab of polyvinyl chloride, designed to be bought for 75p, played to death, scratched by a teenager and replaced by next week’s offering. The label took the lion’s share. The writer, if he was lucky and his manager was honest, he usually wasn’t, got a few pence per copy. And yet here we are, half a century on, and Roxanne is still earning. Every car advert. Every karaoke licence. Every Spotify spin in a Bangkok cocktail bar at two in the morning. Every nostalgic Boomer thumbing repeat in his Range Rover on the M40 to Bicester Village.

Sting is not alone. Bob Dylan flogged his songwriting catalogue to Universal in late 2020 for around $300 million, then sold his recorded works to Sony the following summer for another $200 million. Bruce Springsteen, the working-class hero from Asbury Park, lifted somewhere between $500 and $600 million off Sony for his life’s work. Bowie’s estate, Genesis, Neil Young, Pink Floyd. The numbers are positively obscene, and rising.

Why? Because, according to the IFPI’s Global Music Report 2025, recorded music brought in $29.6 billion globally last year. Streaming alone topped $20 billion, fully 69 per cent of the pie. There are now 752 million paying subscribers worldwide and ten consecutive years of growth. The very technology that everyone solemnly said would kill the music industry, Napster, file-sharing, the iPod, the internet itself, has instead resurrected it as the perfect annuity. Music doesn’t sell once any more. It sells forever, in fractions of a penny, every second of every day, while the writer sleeps.

Compare that to the rest of us. The plumber who fitted my boiler in 2018 invoiced me, paid his VAT and moved on. The barrister who drafted our new sponsorship contracts billed by the hour and that was that. The architect, the dentist, the accountant, the management consultant, all selling time, all watching the clock, all running flat out until the day they retire and the cheques stop. Even the great industrial fortunes of the twentieth century, your Wedgwoods, your Hansons, your Goldsmiths, required factories, foundries, lorries, lawyers, picket lines and the occasional hostile takeover. Whereas Paul McCartney dreamt the melody of Yesterday in his girlfriend’s spare room in 1965, scribbled “scrambled eggs, oh my baby how I love your legs” as placeholder lyrics, and has since banked north of £19.5 million on a single song — the most-covered tune in human history, with more than three thousand versions. The Beatles’ catalogue is now valued comfortably north of £1.2 billion and reportedly throws off £70 to £90 million a year for owners who, gloriously, include almost none of the people who actually wrote it.

This is the lesson British business has been embarrassingly slow to learn. It is not what you make. It is what you make that keeps making. The whole intellectual property economy, software, brands, patents, content, is built on this principle. Microsoft writes Office once and bills you forever. Disney drew Mickey before the Wall Street Crash and is still suing people about him. Coca-Cola scribbled a formula on a piece of paper in 1886 and has paid for four generations of dividend cheques. But none of them, not one, possesses the casual, narcotic genius of the songwriter who spent an afternoon humming and is still cashing seven-figure royalty statements in his seventies.

We business owners should be furious. And inspired. In November 2023, The Beatles even released Now and Then, a John Lennon demo from the late seventies, patched up with artificial intelligence and a bit of Peter Jackson studio wizardry, and it strolled to number one in the UK, fifty-six years after their previous chart-topper. The asset, sweated and sweated and sweated again, and now sweating for a fourth generation of listeners who weren’t born when their grandparents bought the original LP.

So the next time some private equity grandee bangs the boardroom table demanding “operational efficiency” and “recurring revenue streams”, remind him gently that the most efficient business model in the modern economy is a paunchy Geordie with a guitar humming nonsense about a Parisian prostitute in 1977 and banking nine-figure cheques in his seventies. The rest of us should be so lucky. Or, more usefully, so clever.

Richard Alvin

Richard Alvin is a serial entrepreneur, a former advisor to the UK Government about small business and an Honorary Teaching Fellow on Business at Lancaster University.

A winner of the London Chamber of Commerce Business Person of the year and Freeman of the City of London for his services to business and charity. Richard is also Group MD of Capital Business Media and SME business research company Trends Research, regarded as one of the UK’s leading experts in the SME sector and an active angel investor and advisor to new start companies.

Richard is also the host of Save Our Business the U.S. based business advice television show.

Firms freature include K3 Metrology, Mariposa, Elmatic, Alesi Surgical, Creo Medical and 1st Choice Accident Repair Centre.

Spinout from the National Physical Laboratory (NPL) K3 Metrology has launched with a £2.75m seed investment to commercialise Metralis, a next‑generation metrology platform designed for advanced manufacturing environments.

The funding round is supported by the Development Bank of Wales with a £1m equity investment alongside £1m from Parkwalk and £750,000 from the UK Innovation & Science Seed Fund (UKI2S.

Based at the Advanced Manufacturing Research Centre Cymru (AMRC-C) in Broughton, K3 Metrology enters the market as manufacturers across aerospace, defence, nuclear and other high‑value sectors are seeking more efficient, traceable and scalable measurement solutions.

The company was founded by Professor Ben Hughes (chief technology officer) and Dr Mike Campbell (chief executive), who have worked together for more than 12 years at NPL developing the Metralis technology and building strong relationships with major industrial partners.

Metralis was created in response to direct feedback from large industrial users who highlighted the limitations of legacy systems. In customer trials, the start-up has demonstrated significant performance gains and a timing study with a major manufacturing partner having found that using Metralis resulted in efficiency gains of 60%.

Dr Campbell said: “For decades, manufacturers have been forced to compromise between accuracy, speed and scalability. Metralis removes that trade‑off entirely.

“This investment enables us to bring a step‑change technology to market and support the UK’s most advanced industrial sectors. Metralis is the result of years of scientific development at NPL, and we are now grateful for the support of the development bank, Parkwalk and UKI2S. Our team is excited to deliver real‑time, high‑accuracy measurement at a scale that has never before been possible.”

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Penny Holt, chief financial officer of NPL said: “K3 Metrology demonstrates how publicly funded science can translate into high‑value industrial capability for the UK. Metralis is a transformative technology with the ability to raise industrial productivity, strengthen UK manufacturing competitiveness, and set new international standards in large‑volume measurement.

“This seed investment marks an important step in translating 15 years of NPL research into real‑world impact, and we’re proud to support the K3M team as they take this capability to market.”

Gareth Mayhead and Tom Linney, investment executives in the technology ventures team at the Development Bank of Wales. They structured the investment deal for K3 Metrology.

Mr Mayhead said: “K3 Metrology is a high‑quality technical spin‑out with genuinely differentiated technology and clear commercial potential, making this a compelling early‑stage investment in the UK’s industrial deep‑tech sector. Our funding gives K3M the runway to complete product development, grow the team in North Wales and build early commercial proof points in sectors where precision and throughput matter. Its base at AMRC Cymru provides valuable proximity to industrial partners, collaborative facilities and a skilled regional workforce.”

Alun Williams, investment director, Parkwalk, the UK’s most active investor in university spin‑outs, brings deep experience in commercialising complex IP, said: “K3 Metrology is a great example of the world‑class, science‑led innovation that Parkwalk exists to back. Metralis embodies the kind of breakthrough, industrial deep‑tech we look for – addressing a clear need with a platform that can transform productivity for advanced manufacturers.

“Its real‑time, high‑accuracy measurement capability represents a significant step forward in precision metrology, overcoming the limitations of legacy systems and enabling throughput levels demanded by aerospace, defence and other high‑value sectors. We are excited to be investing in K3M as the team brings this rigorously validated, next‑generation technology into commercial deployment.”

UKI2S, managed by Future Planet Capital, is a specialist early‑stage investor in UK innovation. Sakura Holloway, investment director at Future Planet Capital, said: “K3 Metrology is exactly the type of company our fund exists to invest in and support the growth of.

“The Metralis system has been co-designed, co-built and being actively tested by commercial partners in the advanced manufacturing sector, with the commitment of the founders to continue to iterate the solution to address industry pain points. We are proud to have identified the opportunity and support spinout creation from NPL, through to investing alongside the Development Bank and ParkWalk in this round.”

Mariposa

Cardiff-based Mariposa Therapeutics has secured £750,000 in seed funding to advance the development of a potential treatment for rare and painful genetic skin condition epidermolysis bullosa simplex (EBS).

The investment was led by the Development Bank of Wales, which has committed up to £300,000 in equity from the Wales Technology Seed Fund. Co-investments have come from specialist rare disease charity DEBRA Research and the existing founders.

Mariposa will use the funds to undertake pre-clinical development of the drugMP5219 as a potential first disease-modifying therapy for EBS. The funding will support further studies as well as being used to secure scientific advice and early engagement with regulators.

EBS is a chronic, painful and potentially life-limiting genetic condition that causes the skin to blister and tear with the mildest friction or heat. There are no treatments that address the underlying cause.

MP5219 works by activating the expression of keratin 17 and other inducible keratins, restoring skin integrity and preventing blister formation. This approach has the potential to transform the lives of children and adults living with EBS by enabling normal mobility, extending life expectancy and offering the prospects of a life free from constant pain.

It is estimated to affect around 1 in 125,000 people throughout the US and Europe and upwards of 500,000 people worldwide. The potential size of the market for a treatment, based on currently diagnosed patients with access to treatment centres, is in the region of £1 billion.

It is likely that MP5219 will receive orphan drug status, a special regulatory designation which offers a host of benefits including reduced fees for regulatory activities, tax credits for clinical trials and extended market exclusivity. Specialised regulatory assistance is also often made available.

With Cardiff-based Dr Lucy Sykes as chief scientific officer, Mariposa intends to establish a Cardiff-based research facility with laboratory space this year, following its next funding round, as well as to recruit scientific staff in Wales to support formulation development and future manufacturing activities.

CEO Dr David Howat has decades of experience has a chief development officer in numerous companies, and his skillset will be vital in progressing the preclinical development of Mariposa’s asset.

Dr Howat said: “EBS is a devastating condition with no current disease-modifying treatment options. With this funding we can take MP5219 through preclinical development and build the foundations for clinical testing. We are committed to developing Mariposa as a Welsh company, and our longer-term vision is to establish a dedicated science base in Cardiff, creating high-value jobs and capabilities to support the next stages of development.

“The continued support of our founders and existing investors along with the backing of the development bank and DEBRA Research is a real vote of confidence in our potential to deliver a first-in-class treatment.”

Dr Martin Steiner, managing director at DEBRA Research, said: “Our investment in Mariposa exemplifies how impact capital can accelerate the translation of cutting-edge science into real hope for patients. EBS accounts for roughly 70% of all EB cases worldwide, yet there are still no treatments that address the root cause of the disease. We’re excited to support the development of MSP5219, which has the potential to become the first disease-modifying therapy for EBS, and to help bring it into the clinic, offering real, meaningful improvements for people living with this condition.”

Harry George, investment executive with the Development Bank of Wales. said; “This is an opportunity for an early-stage investment in a solution to a rare disease, which has the potential to achieve orphan drug status. Our investment provides the foundation for Mariposa to progress towards further funding that will drive the clinical development of a life-changing treatment. The backing of DEBRA is a strong endorsement of the company’s potential and reflects our commitment to working with co-investors to increase the flow of funding into Wales.”

Elmatic

One of the UK’s oldest manufacturers of industrial electric heating elements, Cardiff-based Elmatic, has been Swedish corporate giant NIBE Industrier AB.

Founded in 1949, Elmatic (Cardiff) Ltd has operated as a family-run business dedicated to producing custom-built heating solutions for diverse industries.

NIBE Industrier AB brings more than 70 years of international industry leadership, originating in Markaryd, Sweden, and expanding to become a global group with a focus on sustainable, energy-efficient heating, climate and control solutions.

John Skalitzky, former owner of Elmatic (Cardiff) Ltd, “On behalf of my family and myself, we are reassured by the knowledge that Elmatic’s future will continue under the leadership of NIBE’s group of companies. I would like to thank the exceptional team of employees, who will continue their work in very capable hands.”

Following the acquisition, the value of which has not been disclosed, Elmatic will continue to operate with the same management team,

To support the transition and strengthen strategic alignment within the NIBE Element business area, Simon Ellam, managing director of Backer Heatrod and Heat Trace , will take on a chairman role supporting Elmatic’s leadership team. His extensive industry expertise and experience within NIBE Element’s UK operations will help guide Elmatic through its next chapter of growth.

Mr Ellam said “It’s clear that industrial heating technology has been at the heart of Elmatic’s strategy from the start and combining this core strength with both our UK and group capabilities will only go to strengthen the industrial heating solutions we can provide. John took the business on from his father and has continued to innovate from both a business and technology perspective ever since. I’m excited to learn from the team and to help guide Elmatic in the coming years.”

Cardiff-based Gambit Corporate Finance acted as lead advisor to the shareholders of Elmatic on initiating, negotiating, structuring and project managing the transaction. The Gambit team comprised Frank Holmes (partner), Cen Thomas (director), Sean David (executive) and Leo Crawford (analyst).

Mr Skalitzky added, “I would like to thank the team at Gambit for their role in advising us throughout the transaction. From the inception of the process to completion, their commercial experience and guidance was invaluable and they took a “sleeves-rolled up” approach to supporting us every step of the way.”

Mr Thomas, director at Gambit, said: “Elmatic is a great example of a leading industrial business with a strong family heritage and its acquisition by NIBE provides a strong platform for its future growth. We are delighted to have advised the shareholders of Elmatic with this landmark transaction.”

Geldards provided legal advice to the shareholders and its team was led by Alex Butler, Mina Dimitrova (corporate) and Henry Bright (commercial property).

Alesi Surgical

Cardiff-based surgical tech company Alesi Surgical, which is tackling surgical smoke in operating theatres, has successfully closed a £7m funding round that will support its growth plans.

The round was led by IW Capital and supported by existing shareholders, IP Group and Mercia Ventures.

Surgical smoke is produced in around 90% of procedures, of which there are an estimated 266 million each year. The smoke impairs surgeons’ visibility and exposes healthcare staff and patients to harmful aerosols and particulates.

Historically, adoption of smoke management solutions has been limited by cumbersome extraction systems that interrupt surgical workflow. But growing regulatory momentum – led by the US where 20 states have now passed regulation – is driving a shift towards smoke-free operating theatres becoming the standard of care.

Alesi’s proprietary ultravision platform technology provides an innovative alternative to existing products. It uses electrostatic precipitation to actively remove smoke as it is generated rather than relying on suction and mechanical filtration.

The first-generation ultravision system has already been used in over 50,000 “keyhole” laparoscopic and robotic procedures in Europe, the US and Japan, and independent industry studies have shown that in laparoscopic surgery, smoke is removed from the atmosphere up to 225 times faster than competing technologies..

The funding will support international commercial expansion and further development of Alesi’s ultravision2 platform as regulation around smoke control tightens.

Dr Dominic Griffiths, founder and chief executive of Alesi Surgical, said: “Electrosurgical tools have transformed modern surgery but also generate surgical smoke that affects the quality and efficiency of surgery and poses risks to operating theatre staff. For years, available solutions have required trade-offs between effectiveness and workflow disruption, slowing adoption across the industry.

“As awareness grows that smoke management is integral to surgical safety and efficiency, solutions that tackle smoke at its source, such as ultravision2 which is FDA-approved and CE-marked, are becoming increasingly important for supporting the next generation of minimally invasive and robotic procedures.”

Isobel Egemole, investment director at IW Capital, said: “Surgical smoke is becoming an increasingly important priority for hospitals with a need to address both visibility and safety in the operating room, supported by growing regulatory and compliance tailwinds. Solutions that integrate seamlessly into surgical workflows will define the next phase of adoption.

“Alesi Surgical offers a fundamentally different approach to smoke management that addresses the problem at its source. As the industry moves toward smoke-free operating theatres becoming the norm, Ultravision2 is well positioned to play a key role.”

Creo Medical

Chepstow-based medical devices firm Creo Medical has agreed a sale of its manufacturing operation as part of an ongoing efficiency drive. The deal, the value of which has not been disclosed, is expected to be finalised next month via a management buyout.

Creo, which specialises in devices in the emerging field of minimally invasive surgical endoscopy for pre-cancer and cancer patients, said that 25 staff will transfer over to new entity NewCo, which will become a third party manufacturer of Creo devices.

It said the manufacturing disposal is consistent with its strategy to pivot to a “lean, new product introduction company that designs, builds and tests medical devices that are then produced by third party partners.” Having considered various options, it added that a management buyout represented the best outsourcing option.

Peter Tomlinson, current chief operating officer at Creo and chief executive of NewCo, said: “his strategic decision marks an exciting new chapter for the Creo Medical operations team. Having developed the manufacturing capability within Creo, we see a clear opportunity to establish a focused, world-class medical device manufacturing and engineering business.

“We will have the agility to invest, scale, and support a wide range of medical device innovators while continuing to serve as a trusted partner to Creo. Our ambition is to build a highly capable and globally competitive manufacturing platform for advanced medical technologies.

“We remain deeply committed to supporting Creo Medical’s growth and innovation, and the long-term partnership between our organisations will continue to be a cornerstone of our future.”

Creo’s chief executive Craig Guliford said: “We are extremely proud of the sophisticated manufacturing operation and talented team we have developed for our class leading products over the last few years which have enabled us to reach this point.

“Having looked at the options available for our outsourcing strategy, it became very clear that the capability within the operations team stands out in the UK peer group we evaluated. I am excited to see our volumes grow in the short term and working closely with Peter and the team as they embark on realising the growth potential in this area of the devices market.

“This enables the team at Creo to focus on that which is unique to us, significantly differentiated product design, clinical application and sales execution through our sales channels with real traction and momentum.”

1st Accident Repair Centre

One of the UK’s largest motor vehicle repair businesses has been acquired in a management buyout.

The deal, for Cardiff-based 1st Choice Accident Repair Centre, the value of which has not been disclosed, has been part funded with an investment of £600,000 from UK Steel Enterprise.

The deal provides an equity exit for the Development Bank of Wales, which backed a previous MBO of the business in 2018. The development bank would not disclosed the return on its equity investment. 1st Choice has expanded significantly in recent years, including the opening of a 30,204 sq ft flagship facility in 2022 following a £975,000 Development Bank loan. The business now employs 37 people and has grown into a £5m operation.

The newly completed MBO sees executive chairman Mervyn Ham – formerly non-executive chairman and principal advisor – lead a strengthened management structure. It also retains founding MBO lead Mike Summers, who brings over 45 years’ sector experience, who becomes a senior advisor to the board while retaining an equity stake.

Eight employees become shareholders. Joining Mr Ham and Mike Summers on the board are Calum Young, part of the original 2018 MBO team, along with Matthew Willecome, Joe Callaghan and Natalie Willecome.

Mr Ham said “1st Choice operates in a sector facing well‑documented pressures – rising repair costs, increasingly complex vehicle technology and the need for continuous investment in skills and performance standards. The business has consistently positioned itself at the forefront of these challenges through investment, strong governance and a commitment to high-quality repair excellence.

“Eight years on from the company’s first buy-out, today’s milestone signals continuity, confidence and a broader ownership model designed to support long-term resilience and growth.

“As a shared‑ownership model, this deal blends the engagement and loyalty often seen in employee‑owned firms with the discipline and performance focus commonly associated with private equity-led structures.

“The development Bank has been an excellent partner over the past eight years, providing equity, debt and property finance that has helped drive 1st Choice’s growth. This MBO represents the next chapter – an opportunity for the management team and our employee shareholders to build on strong foundations and take the business forward with real ambition. Most of the team started as apprentices, and we are now fully committed to supporting them as owners.”

Michelle Noble, area manager at UKSE, said: “We’re delighted to support the management buy‑out at 1st Choice Accident Repair Centre. The team has demonstrated strong leadership, a clear growth strategy and an unwavering commitment to high‑quality service. Their continued investment in people, technology and operational excellence has positioned the business as a leading repair centre in the region. This transaction represents exactly the type of ambition UKSE aims to back a skilled local team building a resilient, future‑focused business with long‑term potential. We’re proud to play a part in their next chapter and look forward to seeing the company continue to grow and contribute to the local economy.”

Mark Halliday of the Development Bank of Wales said: “Our relationship with 1st Choice spans eight years and reflects the full breadth of what the Development Bank can offer – from equity to debt and property finance. The team has grown the business into a market‑leading operation, and this transaction marks a strong and successful exit for us. We’re proud to have supported their journey and wish the new management team every success as they take the business forward.”