Telematics technology firm Trak Global Group is to expand operations and develop new services after securing new growth capital investment of more than £40m (€44m).

Trak Global Group CEO Nick Corrie

The investment comes from Three Hills Capital Partners (THCP), which is taking a significant minority stake in the business while Joe Jefferies, UK coverage at THCP, will join TGG’s Board.

The company provides complete telematics end-to end services via its IMS solution to enable global insurers, mobility operators and motor manufacturers to interpret telematics data and help manage driver and vehicle risk. It also owns and operates telematics insurance broker Carrot Insurance.

Trak Global Group said that its focus will be on supporting rapid growth in the North American territory – the deal comes less than a year after TGG acquired IMS, one of North America’s leading telematics solution providers – and added that it is also considering further acquisition activity.

TGG Group CEO Nick Corrie said the partnership creates a capital structure that will “enable us to more rapidly execute our ambitious growth plans, both organic and by acquisition, to become the global leader providing connected, data-driven technology solutions for the insurance and shared mobility markets.”

The funding will be used to accelerate the development of new products and services via the IMS DriveSync 6 platform.

Corrie added: “We will also be continuing to invest in innovation, such as our pioneering work in road usage charging in the US and developing IP around connected car services that our customers in UBI and mobility will jointly benefit from, particularly as we continue to see the convergence of these two markets.”

THCP’s Joe Jefferies said: “Trak Global is our first investment in the IoT and telematics space, and during our detailed diligence into the sector it quickly became clear that TGG was the stand-out performer. The combination of management team strength and vision, as well as the company’s relentless focus on forming true partnerships with their customers, made for a compelling investment case.”