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MMC backs location-based services provider

MMC Ventures has invested growth capital to accelerate the expansion of Creativity Software, a supplier of end-to-end location based services solutions to mobile network operators. 

Creativity Software is one of the few providers of an LBS one stop shop suite of network infrastructure, middleware and end user applications, enabling mobile network operators to deploy revenue generating location-aware services. 

MMC will take a significant minority stake as part of the transaction.

Creativity Software has experienced rapid growth throughout the recession and is now poised to increase its share of the growing market for products based on location information. 

According to research undertaken by ABI Research, the global LBS infrastructure licensing market is forecast to grow from USD560m in 2010 to USD1.8bn in 2015. ABI Research predicts that the global market for revenue from LBS applications is forecast to grow from USD1.7bn in 2008 to USD14bn by 2014.

Jonathan Coker (pictured), investment manager at MMC, says: “Creativity Software is experiencing exponential growth through a surge in demand from both consumers and business users, exactly the type of business we like to back. We believe LBS infrastructure providers are going to be one of the key beneficiaries of the burgeoning LBS services market and Creativity Software is one of the leaders in this space. Our investment and support will help to accelerate the growth of the business and position them to exploit this large, fast-growing market”. 

Richard Lee, chief executive of Creativity Software, adds: “We chose MMC because they have a strong track record of growing businesses and are an experienced team that we can trust. Their investment and strategic advice will ensure that we are able to expand and broaden our reach.”

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