Alantra Advises Kester Capital on its Investment in The Boundary

Jul 2024

Buy-side advisory & Debt advisory

London – Alantra has provided buy-side M&A and debt advisory services to Kester Capital (« Kester ») on its investment in The Boundary, a leading tech-enabled provider of marketing-grade digital twins, photorealistic visualisations, and marketing suite software for the global real estate industry.

Kester is a leading UK private equity investor, focused on the technology and healthcare sectors. Its investment in The Boundary represents Kester’s third investment from its latest fund, Kester Capital III, which closed at its hard cap of £200 million in March 2024. It comes at a time of continued positive momentum for Kester, having recently won ‘PE House of the Year – Small Cap’ at the 2024 Real Deals Private Equity Awards and having reached an agreement on the sale of Atec, representing Kester Capital’s fourth consecutive exit over 4x and the eighth consecutive exit over 3x.

With offices in the UK, the USA and New Zealand, The Boundary is a rapidly growing international business with an exceptional reputation as the leading real time rendering focused VR studio in the architectural industry.  The business has a proven track record of impressive growth, leveraging proprietary software tools and a world-class team of 3D artists and software developers to consistently deliver the highest quality content for its clients, many of which are the world’s largest real estate developers.

The architectural visualisation market is expected to see strong growth in the medium-term, underpinned by several factors including growth in the volume of prime and super-prime residential developments, increasing awareness of technological advancements and increasing share of marketing spend allocated to visualisation services.  The Boundary’s partnership with Kester will allow it to accelerate its growth and consolidate its global presence.

Cameron Crockett, Managing Partner of Kester Capital, said: “The Boundary is an exceptional technology business operating in an attractive, growing and global market. We’re delighted to partner with Tom, Henry, Peter, Sam and the rest of the management team to help maximise the opportunity ahead of them.”

Richard Holden, Managing Director at Alantra added: “We are delighted to have advised Kester on its investment in The Boundary. The Boundary is an excellent business led by an ambitious and forward-thinking management team that have found a great match in partnering with Kester; we wish them every success for the future. This deal builds on the Alantra Business Services team’s credentials in Tech-Enabled Services and the Built Environment, further showcasing our capability in advising on transactions involving assets delivering highly specialised services across a range of sub-sectors.”