Connexin has announced a financing package of up to £35 million to support the continued deployment and growth of its smart water meter network across the UK.
The financing brings together Santander UK, PATRIZIA and Connexin in a funding structure designed to support the large-scale rollout of critical smart water infrastructure.
The package comprises a £10 million facility from Santander UK, alongside a £5m revolving trade facility, £10m of financing provided through PATRIZIA-managed funds, and a further £10m accordion facility.
The transaction is believed to be the first financing of its kind for a smart water meter network in the UK.
Smart metering is an increasingly important part of the UK’s response to water scarcity and ageing infrastructure. By providing water companies and their customers with significantly better information on consumption, smart meter networks can help identify leakage, reduce unnecessary consumption and enable more efficient management of water resources.
The new financing will provide Hull-headquartered Connexin with additional capacity to accelerate deployment of its network and support the growing demand from UK water companies for smart metering infrastructure.
“This is a landmark transaction for Connexin and an important step in our mission to build smarter, more connected infrastructure that helps tackle some of society’s biggest challenges,” said Furqan Alamgir, founder & CEO of Connexin.
“The water sector is facing enormous pressure, from scarcity and leakage to ageing infrastructure. We believe better data and the ability to turn that data into better decisions, will be fundamental to solving these challenges.
“Smart meters and sensors are creating an unprecedented view of how our water networks are performing. Through ConnexinOS and our business intelligence capabilities, we can bring that data together and turn billions of data points into actionable intelligence, helping water companies anticipate problems, target investment and make faster, smarter decisions.
“For us, smart metering is about much more than connecting a meter. It is about building the data and intelligence layer for the water sector. This financing gives us the capacity to accelerate that vision and help create a future where critical infrastructure is connected, intelligent and increasingly predictive.”
Jonathan Corcoran, director of specialised and project finance at Santander UK, said: “We are pleased to support Connexin with this innovative financing package, which will help accelerate the rollout of smart water infrastructure across the UK.
“Projects like this play an important role in improving efficiency, increasing resilience, and modernising vital public services. This transaction reflects our confidence in Connexin’s growth ambitions and our commitment to supporting businesses that are investing in the UK’s digital infrastructure and long-term economic growth.”
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Phoebe Smith, head of infrastructure fund management, Europe at PATRIZIA, said: “Digitalisation can improve the infrastructure we already rely on. Connexin’s smart metering network is a clear example, helping water companies identify leaks and manage water resources more effectively.
“For our investors, this combines long-term demand for essential services with the opportunity to improve how those services operate. This financing will support Connexin’s next phase of deployment and reflects our confidence in the role digital infrastructure can play in modernising the UK’s water networks.”
Luke Campbell MBE, Mayor of Hull and East Yorkshire, said: “Hull and East Yorkshire have the ambition to become a driving force in the UK’s digital economy, attracting inward investment, supporting innovation and building smarter, better-connected communities.
“Connexin is a fantastic example of homegrown innovation driving that ambition forward. This landmark investment is a vote of confidence in our region and its businesses, demonstrating how technology and data can transform critical infrastructure, tackle real-world challenges and contribute to a more sustainable future.”
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