Listed firm Big Technologies has reported a drop in annual revenue and EBITDA after agreeing a £38.5 million settlement with disgruntled former investors.
The company – trading as Buddi – said both revenue and EBITDA were expected to be marginally ahead of FY25 market consensus, coming in at approximately £49.7m (2024: £50.3m) and £24.6m (2024: £27m) respectively.
It said the drop in EBITDA reflected a change in margin mix and investments made in strengthening the group’s management. Following cost-saving action, these are expected to be cost neutral in future periods, it added.
It had a strong balance sheet at the year-end with cash of £93.4m; including the initial payment of £31.5m paid in relation to the recent settlement of the Buddi litigation, cash at 31st December 2025 would have been £61.9m.
Founder sued
Big is currently suing its founder Sara Murray OBE for hundreds of millions of pounds after accusing her of forgery and deliberate falsification of documents to push through the company’s £577m IPO in 2021. Murray was dismissed as CEO in March over the accusations, and her assets have been frozen amid the subsequent and ongoing £320m High Court battle.
Murray – who founded and sold comparison website Confused.com earlier in her entrepreneurial career – launched people monitoring specialist Big Technologies in 2005. It provides the Buddi electronic tagging system to the prison service, among other products.
She led a management buyout for £12.3m in 2018 and the five former shareholders in the firm brought legal action against it, claiming they had been forced to sell their holding during the MBO and were therefore denied the opportunity of cashing in from the float.
Big Technologies initially denied the accusation but, following its accusations against Murray, recently accepted it. It said late last year that the potential forgery could “materially adversely impact the position of the company in the… litigation [brought against it by the former shareholders]… [we] are unlikely to be able to successfully defend material elements of the claim”.
It agreed to pay £31.5m immediately and a further £7m in 18 monthly instalments.
Background
Murray has claimed that the five shareholders have been bankrolled behind the scenes by her ex-husband Michael Jackson, former chairman of software giant Sage, whom she split from in 2009. Both the former investors and Jackson denied this accusation.
The voting rights in Big Technologies of several companies with ties to Murray were suspended in June after Big served legal notices which accused her of failing to disclose interests in the entities, which collectively held 17.3% of its shares, and also of providing false information during the company’s 2021 IPO. The accusation is that she used offshore shell companies to push out minority shareholders.
Murray – who was once appointed to the technology strategy board of Gordon Brown’s Labour government – told CityAM she has legacy family connections to the offshore trusts but denied being directly involved in them. Together they controlled around two-fifths of the company’s share capital prior to the AIM flotation.
The Rickmansworth-based firm alleges that Murray also improperly diverted significant funds from the group prior to 2019.
Twist
In a twist late last year, Murray succeeded in ousting Big Technologies chairman Alexander Brennan in a shareholder revolt and managed to get James Graham Matheson, whom she is recommending for chair, added to its board.
Sangita Shah, who took over the role on an interim basis, said recently that the settlement “draws a line under the significant uncertainty that the group has faced”.
Shah said Big was in “discussions directly with Sara Murray” to try to settle its claims against her.
The firm’s claims against Murray are being investigated by city regulator the Takeover Panel and the Financial Conduct Authority.
Following the results announcement today, CEO Ian Johnson (pictured) said: “I am pleased to report good progress in 2025 despite the contract losses midway through 2024 impacting the year.
“As a result of our focus on strengthening the management of the group, new contract momentum has improved. I am very proud of the strong performance of the regional teams who grew ARR by 12% and underlying revenues by 9% on a constant currency basis.
“Building on the solid final quarter of 2025 where we were awarded several new contracts, the group remains well positioned for further growth in 2026, underpinned by best in class technology, a loyal client base and a robust balance sheet. I look forward to continuing to grow the business in 2026.”