Hg invests in UK property software firm Street Group

Hg has made a strategic growth investment in Street Group, valuing the UK property software provider at more than £200m, according to PE Hub. The valuation was also reported as $269m and €235m, putting the transaction among notable UK software deals tied to the property sector.

Street Group will continue to be led by co-chief executives Tom Staff and Heather Staff, who will retain majority ownership of the company, PE Hub reported. The structure indicates a minority growth investment, with outside capital added while existing management keeps control.

Street Group develops software products for property professionals. PE Hub identified its product suite as including Street.co.uk, described as the company’s core customer relationship management platform, Spectre, a lead-generation platform, and Cortex, an artificial intelligence tool.

Growth investments of this kind typically provide capital and strategic support without transferring full control of a company. For software businesses, the proceeds can be used to support product development, sales expansion or operational capacity, although PE Hub did not report specific uses of funds for Street Group.

The investment gives Hg exposure to a UK software company serving the property market. Hg is known as an investor in software and services businesses, while Street Group operates in a segment where estate agents and related firms use digital tools to manage clients, leads and workflows.

Street Group was previously backed by PXN Group, a venture capital firm based in Manchester, according to PE Hub. The report did not state whether PXN Group sold shares, retained an interest or changed its holding as part of the Hg transaction.

The reported deal terms leave Street Group under the leadership of its co-CEOs while adding a larger software-focused investor to its shareholder base. PE Hub did not report the size of Hg’s stake, the amount invested or further financial information on Street Group.

This story draws on original reporting from PE Hub.