Terry Matthews
Sir Terence Hedley Matthews | |
|---|---|
| Born | June 6, 1943 Newport, South Wales |
| Occupation(s) | Business magnate, entrepreneur |
| Years active | 1972–present |
| Known for | Founder of Mitel and Newbridge Networks; Chairman of Wesley Clover |
Sir Terence Hedley Matthews (born 6 June 1943) is a Welsh-Canadian business magnate and prolific high-technology entrepreneur, acknowledged as the first individual from Wales to achieve billionaire status. He maintained the title of Wales' wealthiest person until 2012, when Sir Michael Moritz surpassed him.
Matthews has either founded or invested in more than 100 enterprises within the high-tech communications sector, with notable ventures including Mitel and Newbridge Networks. He holds the position of chairman at Wesley Clover as well as on the board of the Swansea Bay City Region. His business interests extend to ownership of the Celtic Manor Resort, KRP Properties, the Brookstreet Hotel, and the Marshes Golf Club.
Early life
Born in Newport, located in South Wales, Matthews entered the world at the Lydia Beynon Maternity Hospital, a facility now part of the Celtic Manor Resort. Raised in Newbridge, Caerphilly, he completed a bachelor's degree in Electronics from Swansea University in 1969.
Career
Following an apprenticeship at the research laboratory of British Telecom at Martlesham Heath, Matthews relocated to Canada to join MicroSystems International, a semiconductor manufacturer connected to Northern Telecom (which later became Nortel Networks) in Ottawa, Ontario.
Mitel
In 1972, Matthews co-established Mitel alongside fellow Microsystems colleague Michael Cowpland. Their initial business plan involved importing electric lawnmowers from the UK to generate startup capital. The company name Mitel is widely believed to derive from "Mike and Terry Lawnmowers," although Cowpland asserted it stood for "Mike and Terry ELectronics." This early venture was unsuccessful due to shipment delays that caused the products to arrive after Canada’s lawnmower season.
Mitel transitioned into a technology consultancy serving Ottawa’s burgeoning high-tech community, counting among its clients the National Research Council and Communications Research Centre. With financing secured through a $4,000 bank loan, personal funds, and angel investors such as Kent Plumley, they created an affordable telephony Dual-tone multi-frequency (DTMF) tone receiver based on Cowpland's doctoral research. This product delivered substantial cost savings and yielded returns as high as 1000%. Mitel later broadened its scope by acquiring the Silek semiconductor foundry in Bromont, Quebec.
Capitalizing on advances in microprocessor and semiconductor technology, Mitel introduced the SX200 PBX system—an offering that was more economical, quicker to deploy, and feature-rich compared to competing systems. This achievement established Mitel as a global leader in manufacturing compact PBX systems and telecommunications semiconductors, culminating with its 1981 listing on the New York Stock Exchange.
In 1985, British Telecom acquired a majority interest in Mitel. Following this transaction, Cowpland went on to create what became Corel, while Matthews founded Newbridge Networks.
Newbridge Networks
Established in 1986 under Matthews’ leadership, Newbridge quickly rose to prominence within the worldwide data networking market, focusing on data communications equipment such as ATM devices and routers. By the year 2000, Newbridge employed upwards of 6,500 personnel and reported revenues of $1.8 billion for fiscal year 1999. Later that year, Alcatel purchased Newbridge for $7.1 billion. Matthews' shareholding was valued at over one billion dollars, making him Alcatel’s largest individual shareholder.
Return to Mitel
In 2000, Matthews regained control of the Mitel PBX division and brand, taking the company private once more. He committed substantial capital—totaling $600 million by 2006—to reposition Mitel as a broadband communications enterprise specializing in enterprise Voice over IP solutions. The manufacturing segment was separated as BreconRidge, and in April 2007, Mitel acquired Intertel. The company re-entered the public market in 2010. Later acquisitions included Aastra Technologies in 2013 and Mavenir Systems in 2015. Although Mitel announced intentions to purchase Polycom in 2016, the transaction fell through, leading Polycom to merge with Siris Capital Group instead. In July 2017, Mitel agreed to acquire ShoreTel for $430 million, expanding its workforce to approximately 4,200 employees. On 24 April 2018, a consortium led by Searchlight Capital Partners revealed plans to buy Mitel in a $2 billion transaction.
Other businesses
- Wesley Clover – Established and chaired by Matthews, this Ottawa-based investment firm operates offices across the US, UK, India, China, and Russia, with a focus on ICT, digital media, and real estate sectors.
- Celtic Manor Resort – A luxury five-star resort featuring an affiliated golf club located in Newport, South Wales.
- KRP Properties – Oversees real estate holdings within Kanata North Business Park.
- March Networks – Specializes in IP video technology; successfully launched an IPO on 27 April 2005, marking Ottawa’s first high-tech public offering since 1999.
- Bridgewater Systems – A software provider empowering mobile carriers to manage and deliver applications; acquired by Amdocs in June 2011 for $215 million.
- Ubiquity Software – Creator of SIP/IMS application server software; purchased by Avaya in February 2007 for around $150 million, forming the foundation of Avaya’s next-generation products.
- Convedia – Producer of VoIP/IMS media servers; acquired by RadiSys in 2006 for $105 million, supporting Radisys’ MediaEngine portfolio.
- Celtic House – Co-founded by Matthews and Roger Maggs in 1994 to invest in emerging tech enterprises across the UK and Canada; restructured into Celtic House Venture Partners in 2002 as an independent limited partnership.
- Newport Networks – Developer of carrier-grade session border controllers; removed from AIM listing in March 2009 and subsequently liquidated despite prior OEM contracts.
- Alacrity Incubator and Accelerator Program – Launched in 2009 by Matthews alongside his son Owen Matthews and Simon Gibson to facilitate connections between Western Canadian firms and venture capital investors.
Matthews also holds board positions at multiple technology companies including Solace, while serving as chairman of CounterPath Corporation and Benbria Corporation.
Wales
Matthews has made significant investments in his homeland of Wales, prominently through ownership of the Celtic Manor Resort in Newport. This premier leisure destination hosted notable events such as the 2010 Ryder Cup and the 2014 NATO summit. Additionally, it was home to the ISPS Handa Wales Open golf tournament for fifteen years. The original Celtic Manor Hotel, where Matthews was born, previously functioned as a maternity hospital.
Since acquiring Celtic Manor in 1980, Matthews has invested approximately £100 million beginning with restoration of the nineteenth-century Manor House. In 1991, he unveiled plans for two new golf courses and a convention center along the banks of the River Usk. Collaborating with esteemed golf course architect Robert Trent Jones Sr., construction commenced on the 'Roman Road' course in 1992 and the 'Coldra Woods' course in 1994, accompanied by a £10 million golf clubhouse hotel.
The resort earned accolades including Hotel of the Year in 2002 and garnered two European Design Awards in 2001 for its interior design and spa facilities. Matthews envisioned Celtic Manor as a driver for attracting investment into Wales from across Britain and worldwide.
In September 2014, Matthews was named chairman of the Swansea Bay City Region Board, utilizing his international connections to promote regional economic development. The board supports projects such as the Swansea Tidal Lagoon initiative.
In January 2016, Matthews expanded his hospitality holdings by acquiring Newport’s Hilton Hotel, which underwent extensive refurbishment before being incorporated into the Celtic Manor Resort Collection as the Coldra Court Hotel.
Philanthropy
Matthews established the Wesley Clover Foundation, a charitable entity dedicated to fostering entrepreneurship, advancing healthcare, supporting education, and promoting community projects. The foundation secured a lease on the former Nepean National Equestrian Park and Ottawa Municipal Campground to create Wesley Clover Parks. Additionally, Matthews organizes the annual Lumière gala, which has successfully generated over $1 million in charitable funds.
Honours
In recognition of his contributions to communications, Matthews was designated an Officer of the Order of the British Empire (OBE) in 1994. He was elected as a Fellow of the Royal Academy of Engineering (FREng) in 1998. His knighthood as a Knight Bachelor was conferred in 2001 in acknowledgment of his impact on industry and Wales.
Matthews has received honorary doctorates from several institutions, including the University of Wales (Glamorgan and Swansea campuses), Carleton University, and the University of Bath. In 2011, he accepted the role of patron for the Cancer Stem Cell Research Institute at Cardiff University.
In December 2017, he was honored as an Officer of the Order of Canada (OC) for his accomplishments as a technology entrepreneur and investor, along with his philanthropic efforts towards community growth. The formal investiture by the Governor General of Canada took place in November 2018.
Personal life
His daughter Karen serves as the executive director at Wesley Clover Parks. Owen, his son residing in Victoria, British Columbia, is a general partner at Wesley Clover and holds the position of founder and chairman at the Alacrity Foundation. His youngest son, Trevor, pursues a career in acting and is the founder and CEO of Brookstreet Pictures.