Scotland business

Dragons' Den winner has £100,000 funding withdrawn

Xupo product and keys Image copyright Xupo
Image caption The product helps users find misplaced items such as keys

A tech start-up firm which thought it had secured a £100,000 investment on the BBC's Dragons' Den TV show has had the funding pulled.

Shortly after the show was aired on Sunday, technology entrepreneur Peter Jones tweeted that his investment did not go through.

The Glasgow-based firm had hoped to use the money to help fund the expansion of its Bluetooth tracker, Xupo.

The coin-sized tracking sensor helps people find misplaced personal items.

Image copyright Twitter

The tracker was launched by Strathclyde University graduates Raj Sark and Vincenz Klemt in 2014 after they raised nearly £27,500 in a crowdfunding campaign with Kickstarter.

The idea was born when one of the founders lost his travel bag, including a new laptop computer and passport, at Heathrow Airport.

Image caption Peter Jones said his investment of £100,000 did not go through

During the show, Peter Jones had offered the investment for 30% equity of the business.

Xupo had forecasted £1m in revenues in the next year.

However, just after the show Peter Jones tweeted: "My investment with My Lupo (sic) didn't go through as some issues arose during due diligence. I still wish Raj all the best in the future."

A PR firm had already issued a press release on behalf of Xupo welcoming the investment.

Mr Sark had said he was "thrilled by the investment and Peter Jones' confidence in the product".

Mr Klemt had said the investment would help them strengthen their position in the UK and expand into Germany and France, followed by Italy and Spain.

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