Last checked at 7 Feb 2022 07:00
7 February 2022
Vela Technologies PLC
("Vela" or "the Company")
QUARTERLY INVESTMENT UPDATE
The Board of Vela, an AIM-quoted investing company focused on early-stage and pre-IPO disruptive technology investments, has resolved to augment its communication with shareholders by publishing quarterly investment updates. This update is the first and covers the quarter ended 31 December 2021.
Investments traded on a recognised stock market are valued using the accounting policies outlined in the notes to the annual financial statements. Unlisted investments and other financial assets are stated at the values attributed to them in the audited balance sheet as at 31 March 2021, unless there has been a transaction since that date which suggests a materially different valuation.
Key numbers as at 31 December 2021*:
· Vela's portfolio comprised a total of 10 active investments (30 September 2021 - 9). Two of these investments were unquoted, seven were quoted and the final investment was the interest in future royalties from the Covid-19 remedy being developed by St George's Street Capital ('SGSC') (which is held in the balance sheet as a financial asset).
· The fair value of the investment portfolio was £4,925,000 (30 September 2021 - £4,762,000).
· The change in the value of the investment portfolio reflects investments during the quarter of £250,000 and a reduction in its fair value of £87,000.
· Vela had cash balances totalling £2,195,000 (30 September 2021 - £2,518,000).
\* The financial information contained within this quarterly investment update as at 31 December 2021 is taken from unaudited management information
Key developments in the quarter:
· WeShop sold its name, business and assets to Boanerges, an unlisted SPAC, for shares in Boanerges. The terms of this transaction were outlined in our announcement of 17 November 2021.
· On 1 December 2021 Vela invested £250,000 by subscribing for 675,676 ordinary shares (0.76% of Skillcast's issued share capital) in Skillcast PLC's IPO funding round and admission to trading on AIM.
· In December 2021 Vela re-published parts of an announcement made by SGSC following the successful completion of the trials of AZD1656, the drug under evaluation by SGSC, which have enabled SGSC to move forward with plans to commercialise the drug.
Developments since 31 December 2021:
· In January Vela made an investment of £750,000 in EnSilica Limited via an unsecured convertible loan note (see announcement dated 17 January 2022) in anticipation of an IPO for EnSilica in the first half of 2022.
· Also in January, Vela crystallised a gain on approximately 20% of its shareholding in Northcoders plc, showing a return of 40% in the six month period of Vela's ownership. The market price of Northcoders' shares continues to rise and, at the date of this announcement, is showing a 106% increase on Vela's purchase price.
· The Company's shareholders approved a revised investing policy at the Company's annual general meeting held on 24 January 2022.
Further information on the Company's investment portfolio as at 31 December 2021 is set out below.
INVESTMENTS
As at 31 December 2021, the Company's portfolio of investments was valued at £4,925,000 and comprised the following 10 companies:
· WeShop
· Cornerstone FS PLC
· Aeristech Limited
· Kanabo Group PLC
· MTI Wireless Edge
· Mode Global Holdings PLC
· Rural Broadband Solutions PLC
· Northcoders PLC
· Skillcast PLC
· St George's Street Capital
The Company also holds two legacy investments in unquoted companies, being Disruptive Tech Limited and Revolve Performance Limited, that were written down to zero some years ago and which continue to be ascribed no value.
For further information, please contact:
Vela Technologies plc Brent Fitzpatrick, Non-Executive Chairman James Normand, Executive Director | Tel: +44 (0) 7421 728875 |
Allenby Capital Limited (Nominated Adviser and Joint Broker) | Tel: +44 (0) 20 3328 5656 |
Nick Athanas/Piers Shimwell |
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Peterhouse Capital Limited (Joint Broker) | Tel: +44 (0) 20 7469 0930 |
Lucy Williams / Duncan Vasey / Eran Zucker |
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About Vela Technologies
Vela Technologies plc (AIM: VELA) is an investing company focused on early stage and pre-IPO long term disruptive technology investments. Vela's investee companies have either developed ways of utilising technology or are developing technology with a view to disrupting the businesses or sector in which they operate. Vela Technologies will also invest in already-listed companies where valuations offer additional opportunities.