INSIGHTS / News

SETsquared Exeter alumnus, New Motion Labs has secured £890k equity investment from the South West Investment Fund via The FSE Group.

The Exeter-based company has developed the world’s fastest, strongest and most durable drivetrain technology for cycling, eBikes and industrial conveying. Enduo, New Motion Labs’ revolutionary sprocket technology, is the re-engineered drive train and sprocket which reduces friction losses in roller chain drives by 50% and extends their lifespan by 3.5 times.

Traditional roller chains transmit power through one single point of contact on the tooth. This design leads to friction and movement between the two points, which over time, can lead to unnecessary wear whilst reducing overall chain efficiency. The Enduo Technology minimises these factors, using two contact points on both sides of the sprocket tooth.

This investment is part of a wider £1.8m funding round for New Motion Labs, hoping to boost product development, sales and marketing activities, and support in creating new jobs.

Speaking on the investment, Damien Murphy, CEO, New Motion Labs, said, “This funding marks a pivotal milestone in NML’s journey, enabling us to accelerate our growth trajectory, expand our product offering and further penetrate the industrial market. The FSE Group has been working alongside us to help secure co-investors in a challenging investment market and we are grateful for their belief in our game-changing technology and the support of the South West Investment Fund.”

Ralph Singleton, Head of Equity Investment, The FSE Group, added, “This experienced and knowledgeable management team boasts an impressive track record and influential industry connections. NML’s robust R&D capabilities, strong IP position, and the proven efficacy of their Enduo technology position them uniquely to address critical pain points in both the cycling and industrial sectors.

“We are confident in their vision and the potential for substantial market impact and look forward to continuing to work with them as they enter this next phase of growth.”

Paul Jones, Senior Investment Manager, The British Business Bank, said, “NML have re-engineered the sprocket and chain technology for the first time in over a century with the aim of applying it to potentially thousands of industrial and manufacturing applications worldwide. The South West Investment Fund exists to support the growth of innovative businesses in the region and this deal is a great example of that.”

As a member of SETsquared Exeter, New Motion Labs benefited from the Accelerator’s workshops, training, and networking opportunities, while also receiving support and guidance from the SETsquared Exeter team, including their dedicated Entrepreneur in Residence.

New Motion Labs also recently opened its brand-new R&D test facility, a place for them to use test rigs to explore product efficiency and continue the development of the Enduo sprockets.