(Alliance News) - Vela Technologies PLC on Tuesday said that it will funnel net proceeds from a share sale into further investments, after disposing of over 500,000 shares in EnSilica PLC.
Vela Technologies is a Bingley, England-based investing company focused on early stage and pre-IPO long term disruptive technology investments.
EnSilica is an Abingdon, England-based company, focused on the design and supply of custom mixed signal Application Specific Integrated Circuits to system companies and original equipment manufacturers.
Between May 24 and December 2, the company sold a total of 568,653 shares in EnSilica, at an average price of 61 pence per share, generating aggregate net proceeds of GBP349,469.
The disposal is expected to generate a realised gain of GBP90,984 for Vela in the financial year to March 31.
Following the disposal, Vela has retained 1,196,135 shares in EnSilica, representing 1.6% of EnSilica's share capital.
Vela originally invested GBP750,000 in EnSilica in the form of convertible loan notes as part of a pre-IPO funding round in January 2022.
"In accordance with Vela's investing policy, we have realised part of our investment in EnSilica in order to crystallise a proportion of the very healthy gain that Vela's investment in Ensilica, made at the beginning of this year, has shown," said Executive Director James Normand.
"This will replenish Vela's cash resources and thus enable Vela to reinvest its funds in similar opportunities. We retain over two thirds of our original shareholding in EnSilica in the expectation of continued growth given the Group's sizeable order book and prospects pipeline."
Vela shares were trading 4.6% higher at 0.02 pence each in London on Tuesday afternoon.
By Holly Beveridge; Alliance News reporter
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Vela Technologies (VELA)