HDS develops automated quality assurance (QA) technologies for the road construction and asphalt industries. The business provides a combination of proprietary hardware, embedded electronics and software that automates traditionally manual, labour-intensive and safety critical testing processes.

The business supports a number of high-profile industry contractors including Eurovia, Holcim and Tarmac.

HDS is the first business to secure investment through the Greater Glasgow Innovation Cluster via the Investment Fund for Scotland. The Cluster forms part of a wider £100 million strengthening of the Nations and Regions Investment Funds and brings together investors, innovators and high-growth businesses across key UK regions.

The investment will allow the business to invest in its next phase of growth, supporting a number of new contracts while continuing to expand its customer reach. Funding will also support their expanding US operations and enables the business to continue with product development as it enhances its range of products.

Joe Charlesworth, managing director of HDS, said: We are very grateful to the British Business Bank and Maven for the investment in our company at an exciting point in our growth journey.

“Data is only as good as its accuracy, and as a technology partner for major infrastructure projects we strive for engineering-grade precision. This backing will allow us to invest in our product development as we enhance our automated digital solutions for both the UK and international markets.”

Sarah Newbould, senior investment manager at Nations & Regions Investment Funds, the British Business Bank, said: “The Investment Fund for Scotland was established to support ambitious, high growth Scottish businesses. HDS exemplifies this, combining innovation with clear international growth potential.

“As the first investment delivered through the Greater Glasgow Innovation Cluster, this funding demonstrates the Funds role in strengthening connections between investors and innovative businesses in the region.”

Rob Stevenson, investment manager at Maven, said: “HDS has evidenced strong growth to date, developing a highly rated suite of products for customers across both roadside and plant, in both the UK and US.

“Joe and his team have significant experience and knowledge within the sector, and with the continuous market shift to automated processes there is a strong growth opportunity.

“We’re delighted to be deploying the Greater Glasgow Innovation Cluster initiative for the British Business Bank in Scotland, and look forward to supporting more companies across the country.”