LDC Takes Minority Stake in AppCheck to Boost Cybersecurity Growth

LDC, part of Lloyds Banking Group, has secured a minority investment in AppCheck, a leading cybersecurity software provider specializing in dynamic application security testing (DAST) and vulnerability discovery solutions. The deal, announced on May 14, 2026, aims to support AppCheck’s continued organic growth, product innovation, and expansion within the UK and potentially overseas markets.

AppCheck, based in Leeds, offers a platform that scans web applications, APIs, and IT infrastructure to identify security vulnerabilities on live systems. Its technology detects security gaps that traditional tools often miss, enabling businesses to proactively address cyber risks. The company serves a diverse client base including mid-market firms, large enterprises, managed security service providers, and cyber consultancies across sectors such as financial services, healthcare, retail, higher education, and the public sector.

With a workforce exceeding 100 employees, AppCheck counts notable clients like JD Sports, Mars Group, Access Group, SIG, First Group, Dr. Martens, University of St Andrews, and Age UK. The company has experienced strong growth driven by rising demand for cybersecurity solutions amid increasing regulatory pressures, insurance requirements, and reputational risks associated with data breaches.

Recently, AppCheck launched Trust Monitor, a tool that continuously audits and tracks third-party services to reveal hidden dependencies and security risks in real time. This addition enhances the platform’s ability to provide customers with comprehensive risk insights and control mechanisms.

LDC’s investment supports the existing management team led by CEO Lloyd Devey, Sales Director Ben Jackson, and Technical Director Graham Bacon. Founders Gary O’Leary Steele and Matthew Hawnt remain investors alongside LDC and management. The investment was led by LDC’s James Marshall, Dan Smith, and Connie Smith, with James and Dan joining AppCheck’s board as Non-Executive Directors.

CEO Lloyd Devey commented, “We’ve spent over a decade building real expertise in cybersecurity and understanding what our customers need. Partnering with LDC, who understand both scaling software businesses and the cybersecurity market, is important. Having them based here in Leeds means we can work closely as we enter this next phase.”

James Marshall, Investment Director at LDC, added, “AppCheck has established a strong position in a growing market. The team’s technical expertise and consistent growth, combined with a clear market opportunity, make this an attractive investment.” Dan Smith, Partner and Head of Yorkshire at LDC, noted, “Investing in Yorkshire is exciting. AppCheck exemplifies the ambitious, talented teams we seek to back. We are committed to supporting management teams in the region aiming to scale.”

Over the past decade, LDC’s Yorkshire team has invested £400 million into businesses with a combined enterprise value of £1.1 billion, including ARC Building Solutions, UniHomes, and Pagabo Group.

Advisors on the transaction included RSM (corporate finance) and Mills & Reeve (legal) for AppCheck, and KPMG (corporate finance), Squire Patton Boggs (legal), DSW (financial due diligence), and Coppett Hill (go-to-market due diligence) for LDC.

The investment positions AppCheck to leverage LDC’s network and resources to accelerate sales, enhance product development, and expand its market presence amid a competitive cybersecurity landscape. The partnership also reflects broader industry trends of private equity backing fueling growth and consolidation in cybersecurity technology.

Looking ahead, AppCheck plans to integrate LDC’s support to scale operations while maintaining its agile innovation culture. Regulatory approvals are not expected to delay the partnership, which is already underway. The collaboration aims to strengthen AppCheck’s market share in the UK and explore opportunities in European markets.