LONDON (Alliance News) - IP Group PLC, which partners with universities to commercialise intellectual property, Thursday reported an increase in the fair value of its investment portfolio over the course of the first half of the year, amid a flurry of activity.
In a statement, IP Group said the fair value of its investment portfolio at the end of June was GBP319.6 million, up 12% from GBP285.9 million at the end of 2013. The value of its 10 largest holdings increased to GBP233.9 million from GBP225.2 million over that period. Net assets increased to GBP528.6 million from GBP336.6 million over the same period.
The group had a busy first six months of the year, acquiring the remaining 79.9% of Fusion IP PLC it didn't already own, extending an intellectual property commercialisation agreement with The University of Manchester to 2019, and signing a new collaboration agreement with Princeton University. In addition, IP Group's portfolio companies raised about GBP93 million of new capital during the period, which saw the admission of portfolio companies Xeros Technology Group PLC and Actual Experience PLC to London's AIM market.
The news flow hasn't slowed down since the end of the first half, with Oxford Nanopore Technologies Ltd completing a GBP35 million financing, giving a GBP17.8 million fair value uplift to the group. IP Group also led a GBP6.0 million financing for Diurnal Ltd to fund a Phase III clinical trial for its lead Chronocort programme, while Retroscreen Virology Group PLC and Ceres Power Holdings PLC unveiled fundraisings of GBP33.6 million and GBP20.0 million, with the group contributing GBP4.0 million to each.
Finally, medical training simulator provider Medaphor Group PLC joined the London Stock Exchange's AIM on Wednesday, raising GBP4.7 million in its initial public offering.
"While sources of capital for, and the risks inherent in, early-stage businesses are challenges that are likely to always face the group and its spin-out companies, the board remains confident in the group's business model, partners and its portfolio," IP Group said in a statement.
"The group continues to see opportunities for increased capital deployment within its existing portfolio and has a healthy pipeline of new potential businesses. The board also intends to be able to announce the formation of its first spin-out opportunities with its US partner universities within the short-term," the group added.
IP Group shares were Thursday quoted up 3.3% at 215.30 pence.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
Copyright 2014 Alliance News Limited. All Rights Reserved.
Ip Group (IPO)
Xeros Tech (XSG)
Ceres Power (CWR)