Insig AI plc has raised fresh funding after it replaced its CEO last week.
Last Thursday the data science and machine learning solutions company said Colm McVeigh had stepped down from the board and his role as CEO, with then-chairman Richard Bernstein appointed in his place.
McVeigh had joined the firm in November 2021 as chief commercial officer and was named CEO in April 2022. Last week chief technical officer Warren Pearson also stepped down from the board, but has remained within the business as a full-time employee.
Now an equity subscription – at a 2% discount to the closing share price on 4th June – has raised £813,000. Insig AI said £750,000 of the funds were from a new investor, NR Holdings Limited, while new chairman John Wilson – CEO of Bulgin Limited, a manufacturer of sealed connectors and components – subscribed for £62,500 of shares.
The proceeds will be utilised to invest in sales and marketing as well as for working capital purposes.
In April, Insig AI said it would report lower-than-expected total revenue of around £1.3 million for the 2024 financial year, below the £1.4m it had forecasted, after two significant contracts were delayed. Some £900,000 of that revenue came from its Sport in Schools business, which it sold in November 2023.
The “delayed commercialisation” of some of its key products had left it struggling for capital.
“We’re delighted to welcome a new investor of this calibre at a time when the company is laser-focused on converting its strong machine learning repository and data science capabilities into client wins and growing and sustainable revenues,” said Bernstein.