Secha Capital, acting as lead investor alongside 27four and Shade Tree Capital, has announced a strategic investment in Barracuda Holdings, a South African electronics manufacturing services (EMS) company. This transaction marks a significant milestone for Secha Capital as it introduces its innovative Chief Executive Operator Investor (CEOI) model to the market.
The CEOI model, developed by Secha Capital, is a search-fund-style approach tailored for emerging markets. It embeds a next-generation owner-operator into the business with meaningful equity participation, ensuring strong alignment and operational leadership. Through this model, Aengus Stanley, founder of Shade Tree Capital, originated and led the deal process with guidance from Secha Capital.
Barracuda is a trusted South African EMS provider specializing in high-mix, low- to medium-volume PCB assemblies and related electronics. The company serves a diverse client base across telematics, industrial automation, energy, defense, aerospace, and space technology, earning a reputation for agility, quality, and innovation. Today, Barracuda supports more than 100 clients, positioning itself as a key player in South Africa’s advanced manufacturing sector.
As part of the transaction, Aengus Stanley will assume the role of Chief Executive Officer and become a significant shareholder, taking responsibility for day-to-day operations. Founders Rob Steltman and Ryan Webb will remain actively involved for several years in specialized roles, focusing on customer relationships and high-value engineering projects. This structure ensures continuity while enabling knowledge transfer.
Additionally, Seshan Chettiar from Secha Capital will join the management team in the near term to support the transition. “This next chapter for Barracuda is about building on a strong foundation,” said Aengus Stanley. “We are excited to combine our experience from other industries with Barracuda’s deep EMS expertise.”
Brendan J. Mullen, Managing Director at Secha Capital, emphasized the broader significance:
The next decade in South Africa won’t be defined by capital alone; it will be defined by execution capital—money that comes with an embedded CEOI, an operating playbook, and a relentless focus on delivery. Barracuda exemplifies this model: experienced founders, an on-the-ground CEOI, and aligned institutional investors.
Rory Ord, Head of Private Markets at 27four, added:
South Africa’s industrial and electronics sectors are critical to competitiveness and job creation. By backing locally embedded owner-operators and founder teams, we believe this model can be replicated across many founder-led industrial and engineering businesses in the coming years.
