LONDON (Alliance News) - Imperial Innovations Group PLC Wednesday said the value of its portfolio at the year end was 21% higher than the year before, though its pretax profit was down by a quarter.
Imperial Innovations, which invests in companies based on technologies from or associated with Imperial College London, Cambridge University, Oxford University and University College London, said it made a GBP3.8 million pretax profit for the year ended July 31, compared with GBP5.1 million for the corresponding period last year.
The profit decline came about after revenues dropped to GBP3.3 million from GBP4.3 million last year, which Imperial Innovations attributed to lower corporate finance fees as a result of a lower rate of investment. Finance income was down 52% to GBP1.1 million.
However, the value of its portfolio grew to GBP188.2 million from GBP155.6 million over the period, with a number of portfolio companies being positioned for sale or initial public offerings.
Portfolio uplifts from fair-value gains amounted to GBP13.2 million, due in particular to the achievement of key milestones by bio-pharmaceutical company Circassia, which develops treatment products for allergies to common allergens, including cat, house dust mite, ragweed and grass.
Chairman Martin Knight said he was optimistic about what its portfolio companies might deliver as a result of the company's understanding of how to commercialise early-stage technology, as well the strength of its management teams running the business established from university research.
"This is a potent and exciting combination which we believe will deliver good value, particularly as a number of our leading portfolio companies are approaching value creation events such as trade sale or IPO," Knight said in a statement.
News about one such possible IPO was announced in a separate statement. Oxford Immunotec, a medical diagnostics company developing tests in the field of immunology, is considering a listing on NASDAQ after filing its S-1 with the US Securities and Exchange Commission.
Imperial Innovations has an 8.0% stake in Oxford Immunotec after it led a USD28 million funding round for the company and invested USD9.5 million in June 2102.
Imperial Innovations ended the financial year with GBP65.6 million in cash and short-term liquidity investments, up from GBP43.9 million at the same time last year.
In addition, the company said it has appointed Nigel Pitchford as its new Chief Investment Officer.
Imperial Innovations shares were Wednesday quoted at 373.0 pence, up 18.0 pence, to 5.1%.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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