News
LDC invests in innovative legal tech group
30 May 2023
LDC, the private equity investor which is part of Lloyds Banking Group, has made a minority investment in tech-enabled legal services company The Barrister Group (TBG).
TBG, which is the umbrella group for well-known legal brands including Clerksroom Chambers and Clerksroom Direct, uses its innovative proprietary Chambers365 management software to give barristers choice over their working patterns. It offers flexibility to practitioners by enabling them to operate on a remote basis without the need for a physical chambers.
The transaction, which is believed to be the first such investment in the Bar of England & Wales, sees LDC back co-founders Harry Hodgkin and Stephen Ward, alongside their existing management team.
LDC’s investment will enable TBG to attract more barristers and instructions with its alternative chambers model, whilst supporting existing members and investing further in its proprietary technology to support the growth of the business.
Stephen Ward, co-founder of TBG, said: “Since we began back in 2001 as Clerksroom we’ve wanted to make a difference to the way the Bar operates. The traditional chambers model has its place, but might not be for all barristers. Our technology and our model offer many advantages that other chambers may not be able to match.”
We are building the Bar of the 21st century and LDC's experience of building tech-enabled services companies, will help us take the next step in making that happen.”
Harry Hodgkin, CEO and co-founder of TBG, added: “This investment is testament to the hard work those behind this concept have put in over the years, but it is also an opportunity for TBG and the Bar to look to the future.”
The LDC team understand our business and our sector, and they were quick to identify a number of value-add areas where they can support TBG. LDC’s regional network, which closely aligns with TBG’s proposition, their sector experience and insights were a real draw for us."
The transaction was led by Investment Directors Oliver Schofield and Stefan Gunn and Investment Manager Alex Knox at LDC in Bristol. Oliver and Stefan will join the board, with Steve Weller joining as Non-Executive Chairman and Christina Blacklaws joining as Non-Executive Director. Steve brings CEO and board-level experience of working with other private equity-backed businesses and Christina brings more than 28 years’ experience of leadership in the legal sector, having held numerous non-executive positions and as a former President of the Law Society.
Oliver added: “The team at TBG is bringing disruptive tech-enabled solutions to the legal market in a move that offers greater flexibility and alternative ways of working for the Bar, whilst importantly improving access to justice for the public. TBG has the potential to revolutionise the future of the Bar by offering a real alternative to the traditional chambers model and we’re excited to support the team as they continue to pursue their growth plans.”
The transaction marks the second investment LDC’s team in the South West and Wales has completed already this year. It follows its investment in Cardiff-based Idwal, a leading provider of tech-enabled inspection services for the global commercial shipping sector.
TBG was advised by PKF Francis Clark (corporate finance) and Michelmores (legals).
LDC was advised by GT (corporate finance and tax structuring), WBD (legals), BDO (financial & tax due diligence) and Armstrong (commercial due diligence).
Image – (from left – right) Alex Knox, Gareth Lindop, Matthew Wildish, Stephen Ward, Harry Hodgkin, Oliver Schofield, Christina Blacklaws, Stefan Gunn, Steve Weller