A YORK-BASED online musical instrument retailer has announced strong trading and strategic progress in its half-year results and separately revealed that a former investor has sold more than 800,000 shares in the company.

Gear4music, of Clifton Moor, said Key Capital Partners (KCP) had sold 829,482 shares at 360 pence per share, and KCP no longer had a notifiable interest in Gear4music.

KCP invested £3.4 million in a minority stake in Gear4music in 2012, which enabled the company to expand its European exports.

Gear4music also announced that Peter Armitage, a KCP director and a non-executive director of Gear4music, was stepping down from the board of the latter company.

Andrew Wass, Gear4music’s chief executive, said: “Key Capital’s decision to invest in the business in 2012 has been integral to our subsequent development and setting us on the path to growth.

“With Peter stepping away from the board, now would seem the appropriate juncture to recognise the very significant contribution they have made over a number of years.”

Meanwhile Gear4music has announced results for the six months to August 31 which show a 73 per cent increase in revenue from nearly £12.5 million in the same period in 2015 to £21.6 million, while gross profit was up 74 per cent from £3.3 million to more than £5.7 million.

UK revenue was £13.8 million, up 44 per cent, and European revenue was £7.8 million, up 169 per cent. The company said its Swedish distribution centre was on track to be operational next month, a lease had been signed on a German distribution centre and its software development team to be brought in-house

Mr Wass said: “I am extremely pleased that during the last six months we have combined strong trading with significant strategic progress, as we continue on our journey to be one of Europe’s leading online retailers of musical instruments and equipment.

“Accelerating sales growth into Europe, which represented 40 per cent of our total sales during the last two months of the period, has reinforced our decision to expand our distribution capacity in Europe and further enhance our customer proposition.”