CloudCoCo founder and CEO Mark Halpin steps down

An interim CEO has been named as the MSP announces an extension of loan notes alongside a seven per cent bump in FY23 revenues

Mark Halpin today announces he has stepped down from the board of CloudCoCo and his position as CEO of the MSP with immediate effect.

Halpin founded the Leeds headquartered business in 2018 and transformed the start-up into a £30m turnover MSP in six years.

Ian Smith, CEO of MXC Capital Limited, the parent of MXCG, CloudCoCo's loan note holder, will join the MSP, initially as a consultant to the board, acting as Interim CEO of the group's trading entities.

The board will seek to appoint a new CEO of the AIM-listed company as soon as possible.

Halpin revealed the news in a touching LinkedIn post, thanking everyone who has been part of his CloudCoCo journey.

"But as much as this journey has been about numbers and milestones, it has been about the people – the passionate souls who have brought my ideas to life and poured their hearts and souls into this company day in and day out. Each and every one of you has left an indelible mark on CloudCoCo, and for that, I am eternally grateful," Halpin pens.

"We thank Mark for his service to the business during a period of both organic and acquisitive growth and wish him well with his future endeavours," said non-executive chair Simon Duckworth.

FY23 revenue jump

CloudCoCo has also reached an agreement with MXC to extend the redemption date of the loan notes from 21 October 2024 to 31 August 2026. Interest will continue to accrue on the loan notes at the current rate of 12 per cent until redemption. All other terms of the loan notes remain the same.

"We are pleased that we have been able to secure an extension to the loan notes with MXCG. This, together with the publication this morning of a solid set of results for FY23, will give our staff, customers and suppliers confidence over the immediate future of the business," Duckworth added.

"We look forward to working with Ian and utilising his vast experience in the IT services market as we review the Company's strategy for its next phase of development".

In a triple whammy of announcements, CloudCoCo also publishes a seven per cent revenue bump to £26m, 64 per cent of which was generated from recurring contracts in its full year results for the year ended 30 September 2023.