| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | n/a | n/a |
| Intrinsic value (DCF) | n/a | |
| Graham-Dodd Method | 0.19 | -100 |
| Graham Formula | 0.07 | -100 |
Ideagen plc is a UK-based provider of governance, risk, and compliance (GRC) software solutions, serving industries such as aerospace, healthcare, finance, and manufacturing. The company specializes in quality management, audit automation, safety management, and compliance software, including products like Q-Pulse QMS, Pentana Audit, and Coruson. Ideagen's cloud-based and on-premise solutions help organizations streamline regulatory compliance, risk management, and operational efficiency. With a global presence across the UK, US, and Europe, the company caters to highly regulated sectors requiring stringent compliance frameworks. Ideagen was taken private in July 2022, reflecting its strategic value in the growing GRC software market. The company's focus on enterprise safety, document collaboration, and e-learning positions it as a key player in the information management software sector.
Ideagen plc demonstrated steady revenue growth (£65.6M in FY 2021) and positive operating cash flow (£19.9M), indicating a stable business model. However, net income was modest (£623K), reflecting potential margin pressures from R&D or acquisition costs. The company's low beta (0.75) suggests lower volatility compared to the broader market, appealing to risk-averse investors. Its acquisition by private equity highlights underlying value, but the lack of public trading post-2022 limits current investment opportunities. Ideagen's niche in GRC software is attractive given increasing regulatory demands, but competition from larger SaaS providers poses a long-term risk.
Ideagen competes in the fragmented GRC and quality management software market, differentiating itself with industry-specific solutions like Coruson for aviation safety and Q-Pulse for manufacturing compliance. Its competitive advantage lies in deep domain expertise in highly regulated sectors, where tailored workflows and audit capabilities are critical. However, the company faces pressure from broader SaaS platforms (e.g., ServiceNow, SAP) that offer integrated GRC modules. Ideagen’s UK-centric revenue base (~50% of sales) may limit scalability compared to US-dominated rivals. Its M&A strategy (e.g., acquiring PleaseReview for document collaboration) has expanded functionality but requires integration execution. The private equity buyout could accelerate product development but may reduce transparency for stakeholders. While Pentana Audit competes well in mid-market financial compliance, it lacks the AI-driven analytics of newer entrants like Diligent.