12th Jul 2024 14:28
(Alliance News) - Molten Ventures PLC on Friday updated the market on the positive progress of ongoing portfolio realisations.
The London-based venture capital firm invests in developing high-growth digital businesses.
After first investing in 2016, the firm announced on Friday that it will gain USD26 million from the sale of its holdings in Graphcore Ltd after the semiconductor company gets bought by Japan's SoftBank Group Corp.
In March, after entering the position in 2016, Molten said it would exit from employee benefits and reward platform Perkbox Ltd following its acquisition by Great Hill Partner LP.
The sale has now closed and the company will gain cash proceeds of approximately GBP18 million, 10% more than its holding value of GBP16.3 million.
Furthermore, in April's it was revealed that the medical technology firm Endomagnetics Ltd would be bought by Hologic Inc.
Molten, which began investing in Endomag in 2018, said the deal values its stake in the company "modestly above" the holding value of GBP34.7 million. The transaction is now progressing through the closing process.
These latest sales will add to the GBP520 million of realisations generated by the firm since 2016. In accordance to Molten's capital allocation policy, 10% of proceeds are to be allocated for share buy backs.
In other news, Molten has noted recent fundraises carried out by two of its investee companies.
Ottobrunn, Germany-based launch service provider ISAR Aerospace SE raised GBP220 million in June which will be used to build a larger and fully automated factory in Munich.
Meanwhile, the big data analytics provider RavenPack International SL this month secured GBP20 million from technology advisory and investment firm GP Bullhound to accelerate the development and launch of its new artificial intelligence platform.
Chief Executive Officer Martin Davis said: "These realisations and the fact that core portfolio companies ISAR Aerospace and Ravenpack are attracting investment, even in an environment which is still challenging for fundraising, all demonstrate the high quality of our portfolio. More importantly, the valuation of recent exits underscores the rigour of our valuation methodology".
Molten Ventures shares were down 1.9% to 382.00 pence each in London on Friday afternoon.
By Elijah Dale, Alliance News reporter
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