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FinLegal Announces £2M in Funding from Northern Powerhouse Investment Fund II

By Harry Moran |

FinLegal Announces £2M in Funding from Northern Powerhouse Investment Fund II

An article in Business Live covers the announcement from Sheffield-based FinLegal that it has raised £2 million in funding from the Northern Powerhouse Investment Fund II (NPIF II). The legal technology company offers a platform that can be used for the class actions or high volume small claims management, utilising automation and AI to increase efficiency and reduce costs. FinLegal plans to use the new investment to expand its operations and double its workforce.

The funding from NPIF II is a result of the fund’s mission to help small and medium sized businesses in the North of England scale up their operations, with the £660m fund providing loans that range between £25,000 and £2 million, or equity investments of up to £5 million. FinLegal specifically received funds that are managed in part by NPIF II and in part by Mercia Asset Management.

Steven Shinn, founder of FinLegal, provided the following comment on the announcement:

“The claims market is ripe for a platform like ours. Many claims are run on a no-win no-fee basis and increasingly there are fee caps, so operating costs are critical. Our solution reduces costs, automates but also improves client care and makes it possible to manage claims at a scale which might otherwise not be viable. It has already been adopted by the some of the leading claims firms and this investment will enable us to accelerate our international growth.”

Chris Borrett of Mercia Ventures said: 

“FinLegal represents a new breed of AI-enabled LegalTech companies. The business has rapidly cornered a niche within the mass volume litigation market and is driving substantial productivity gains for major global law firms. Steven and his team have acquired clients across the UK, Australia and in the USA and set their sights on becoming one of the leading litigation platforms globally.”

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Harry Moran

Harry Moran

Commercial

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Gramercy Turmoil Threatens Pogust’s £36bn BHP Claim

By John Freund |

The law firm leading one of the UK’s largest-ever class actions is facing a destabilizing internal revolt that could ripple through a landmark case. Pogust Goodhead—fronting a £36 billion claim against BHP tied to the 2015 Samarco dam disaster—has seen senior lawyers depart and staff raise concerns over governance and independence as tensions mount with its principal backer, Gramercy Funds Management.

An article in Financial Times reports that the flashpoint follows the abrupt replacement of co-founder Tom Goodhead as CEO and a subsequent $65 million credit top-up from Gramercy, on top of an earlier substantial funding package. According to the FT, at least two senior partners—previously central to marquee matters, including BHP and Dieselgate—have stepped down, while a staff group has challenged transparency around funder involvement. The Solicitors Regulation Authority is said to be monitoring events as BHP’s counsel queries whether the firm can stay the course. Pogust’s chair rejects any suggestion of external control, insisting the firm remains independently managed and committed to clients.

For litigation finance observers, the story lands at the intersection of capital intensity, governance, and case continuity. Large, multi-year collective actions carry heavy, lumpy spend profiles and complex funder covenants; when leadership flux and fresh capital coincide mid-stream, questions naturally arise about strategic autonomy, settlement posture, and reputational risk.

If the rift deepens, the implications extend beyond a single case: market confidence in high-leverage portfolio strategies could be tested, and counterparties may push harder on disclosure or consent terms. The episode will likely fuel ongoing debates over funder influence and the safeguards needed when billions—and access to justice—are on the line.

Archetype Sues Ex-Co-Founder Over $100M Trade-Secret Raid

By John Freund |

Fresh on the heels of Siltstone's announcement of a trade secrets lawsuit against former GC Mani Walia, another funder-versus-insider fight has broken out - this time in Nevada federal court, where Archetype Capital Partners alleges that its former co-founder orchestrated a “lift-out” of confidential risk models and deal intelligence to seed a rival venture.

Reuters reports that the $100 million complaint names Andrew Schneider and Georgia-based Bullock Legal Group, claiming they misappropriated Archetype’s proprietary underwriting, pipelines and client data tied to the firm’s mass-tort thesis—including lawsuits targeting alleged videogame-addiction harms. The suit also points to nondisclosure and confidentiality obligations Archetype says were ignored, with knock-on damages measured in lost opportunities and diverted investors.

Defendants have not yet responded publicly. Filed in the U.S. District Court for the District of Nevada (No. 2:25-cv-01686), the case frames a familiar narrative as litigation finance matures: the more funders professionalize and productize origination and risk analytics, the more those intangible assets look like trade secrets worth fighting over. Archetype says its internal marketing strategies, investment criteria and pricing models were lifted to help secure outside capital and counterparties for a competing platform.

Expect more of this as fundraising cycles lengthen and origination competition intensifies. Litigation finance is inheriting private-equity-style playbooks on noncompetes, clawbacks and trade-secret enforcement. The sector could soon see a wave of policy upgrades—employee handbooks, offboarding policies, and standardized NDAs—that add friction in the near term but reduce leakage risk and protect valuation over time.

Nera Capital Surpasses $1 Billion in ERV, Cements Global Standing

By John Freund |

Litigation funder Nera Capital has announced a major milestone, revealing its portfolio’s expected realisation value (ERV) has now exceeded $1 billion—a figure that reflects both realised and anticipated returns net of investor repayments. The Dublin-based firm, which also maintains offices in Manchester, the Netherlands, and the United States, says this landmark demonstrates its rapid growth and underlines its place among the leading players in the litigation finance space.

A press release from Nera Capital notes that this surge in ERV comes just months after Nera crossed $100 million in cumulative investor repayments. That figure is now expected to top $150 million this quarter. The firm credits its success to a disciplined approach to case selection, a tech-enabled risk management strategy, and an emphasis on scalable funding models—particularly in the realms of financial mis-selling, cartel damages, and mass consumer redress.

ERV, a key industry metric, estimates the net value funders expect to realise after satisfying investor obligations. For Nera, surpassing $1 billion in ERV underscores its capacity to manage high-volume, high-impact litigation with robust financial discipline. “This milestone isn’t just about numbers—it validates our model and our mission,” said co-founder and director Aisling Byrne.

The firm’s trajectory has been marked by strategic expansion, including a $75 million new fund, increased institutional support, and the appointment of seasoned finance lawyer James Benson as General Counsel. Nera also reiterated its commitment to supporting claims with measurable damages, strong merits, and potential for positive societal impact.