Zonal bought out by Canadian technology group

UK hospitality technology provider Zonal has been bought by Volaris Group, a Canadian acquirer of software and technology businesses.

The backing by Volaris Group is intended to create opportunities to accelerate Zonal’s next-generation software, while maintaining the company as an autonomous and independent subsidiary.

The acquisition will see Zonal CEO and shareholder Stuart McLean step down from the business, with Jesper Ulsted, portfolio leader at Volaris Group, serving as interim CEO until a permanent replacement is found. No further personnel changes are expected.

Zonal’s portfolio comprises electronic point of sale (EPoS) and hospitality technology solutions, designed to help operators manage day-to-day operations, engage with customers and make informed decisions through reliable, integrated technology. Its customers include Greene King, Mitchells & Butlers and Pizza Express. 

Volaris describes itself as “a strategic and long-term technology investor”, operating a “buy-and-keep” philosophy, meaning the company will look to support Zonal in the long-term. The Canadian company is an operating group of Constellation Software, which was founded by Mark Leonard in 1995 as an international provider of software and services to several public and private sector industries.

Zonal’s McLean said the company saw Volaris as a “genuine long-term home”, adding: “Just as importantly, we also recognised the significant opportunity for Zonal to accelerate forward in its development, and for both the company and the team to grow and develop with it, all the while continuing to put our customers first in everything we do.

“What impressed me most about the Volaris team was a genuine commitment to understanding Zonal and our culture – not just the financials and our products – but as a people-led, customer-first business.”

On his departure, he added: “Building and leading this company has been the privilege of my life but this is a truly great opportunity for Zonal and our customers. I look forward to seeing the business go from strength to strength and will be cheering everyone on from the sidelines.”

Volaris’s Ulsted said: “Zonal’s strong brand, innovative technology and customer-centric culture make it a great fit for our portfolio.

“The McLean family have built and nurtured the Zonal business and, under the stewardship of Stuart McLean, it has become a widely-admired technology company in the UK hospitality sector. We look forward to supporting Zonal as it continues to deliver exceptional solutions to its customers and to pursue further opportunities for growth.”

Terms of the deal were not disclosed.

Zonal itself acquired CRM and digital loyalty company Airship in 2022.