LONDON (Alliance News) - UK intellectual property investor Tekcapital PLC shares spiked Monday after the company reported a sharp rise in annual net assets and portfolio valuation.
Shares in Tekcapital were up 33% in morning trading in London at 7.75 pence each.
At November 30, Tekcapital's net asset value per share stood at USD0.30 compared to USD0.25 the year prior, a 20% increase.
The company's net assets jumped 50% in the year ended November 30 to USD16.1 million from USD10.7 million. Tekcapital's portfolio valuation almost doubled to USD13.7 million from USD7.3 million.
Tekcapital's pretax profit increased 9.5% to USD4.6 million from USD4.2 million on a 29% reduction in operating expenses to USD1.7 million.
"I'm delighted to report that through the collective efforts of our dedicated and capable team we have achieved record net assets in 2018. The continued development of our portfolio companies, Salarius, Lucyd, Guident and Belluscura coupled with improved service revenues has taken the company to a new level of financial performance, whilst we simultaneously reduced our operating expenses by 29%," said Executive Chair Clifford Gross.
Going forward, Tekcapital said it is exploring a potential investment in cannabidiol intellectual properties to "address current market demand".
The company said it is progressing "very well" but its NAV "will fluctuate from period to period" due to individual portfolio company performance and market conditions.
TekCapital (TEK)