Cork-based tech firm Zeto has landed a lucrative deal with Lidl Ireland to supply the retail chain with its cloud software, shortly after the company announced that it had secured a €1.7 million investment round.

Zeto was founded by father and son Michael and Stephen Slattery in 2011, and develops and sells cloud-based software for wireless management of commercial refrigeration systems. The deal with Lidl will see Zeto’s software deployed across the German retailer’s 182 Irish stores, monitoring 8,000 pieces of equipment.

CEO Stephen Slattery said that Lidl will have one of the most comprehensive refrigeration management systems found in any supermarket chain globally.

Aoife Clarke, head of public relations for Lidl Ireland, added: “Zeto's platform adds real value to our business, as it provides us with the most up-to-date technology to monitor temperatures and guarantee quality in the supply chain.

“It will enable us to safeguard stock in the event of issues with the refrigeration equipment and highlights inefficiencies that may become problematic in the future.”

In Association with

Fundraiser

Zeto’s investment round was led by Kernel Capital, through the Bank of Ireland Kernel Capital Venture Funds. The round also includes commitments from Business Venture Partners and Enterprise Ireland.

Capita Corporate Trustees invested €300,000 in Zeto’s operating company, Slattery Validation Systems Ltd, in December 2015. Taxpayers through Enterprise Ireland previously invested €300,000 in 2013.

Zeto's operating company booked a loss of €491,000 in 2014, bringing accumulated losses to €888,000. The company's year-end cash was down to €113,000 from €362,000 the year before, and it closed out 2014 with total liabilities of €440,000 and a net deficit of €203,000.

According to Slattery: “The Bank of Ireland fund and all our investors have been hugely supportive over the last number of years. With their help, and with clients of the calibre of Lidl, we remain on track to create in the region of 35 high-value job in Cork over the next three years.”

Helen Norris, marketing manager with Kernel Capital, commented: “Stephen, Michael and the team at Zeto are superb to work with and we are delighted to have made this investment.”