(Correcting the total number of assets in portfolio to 19 and total estimated value after acquisition to GBP96 million.)
(Alliance News) - Seraphim Space Investment Trust PLC on Friday confirmed its intention to launch an initial public offering and begin trading on the Main Market of the London Stock Exchange.
The London-based closed-end investment company has focused on space technology since it was founded in 2016. Seraphim said its current initial rate of return is 31%. In the long-term, the company is targeting a 20% annual net asset value total return.
The number of shares, price and their valuation for the initial public offering are to be confirmed. Similarly, the market cap on admission and expected date of the float are also to be confirmed.
Funds from the initial issue of shares will be used to expand Seraphim's international portfolio of space tech businesses. The company plans to acquire a portfolio of 19 assets, early stage space technology firms, from the Seraphim Space Fund. This includes stakes in: encryption company Arqit Limited; satellite and predictive analytics company Spire Global Inc; and space-based cellular broadband company AST & Science Inc. Seraphim estimated that the total potential value of the seed assets to be acquired is around GBP96 million.
The company plans to purchase these assets for cash from the Seraphim Space Fund, so the fund's investors can use the cash to subscribe for ordinary shares in the company at 100 pence per ordinary share. The company plans to raise further capital through the issue of ordinary shares to institutional investors and eligible UK retail investors, also for 100p apiece.
By Scarlett Butler; scarlettbutler@alliancenews.com
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