2nd Feb 2021 13:59
(Alliance News) - Summerway Capital PLC on Tuesday posted a narrowed loss for its most recently ended financial year as it announced the approval of a change in its investment strategy and said it hopes to announce an acquisition in the next twelve months.
Shares in Summerway were trading 6.9% lower at 228.00 pence each on Tuesday morning in London.
Summerway listed on the London Stock Exchange in October 2018, with the goal of acquiring businesses in the household and consumer goods sector with enterprise valuations of between GBP20 million and GBP100 million.
For its financial year ended August 31, the London-based company posted pretax loss of GBP174,511, narrowed from GBP191,320 the year prior. This was as administrative expenses fell to GBP186,552 from GBP205,882. It recorded no revenue in either year.
In December, the company set out amendments to its investment policy, saying the revised policy will focus on investment and acquisition opportunities across the software, software-as-a-service, digital technologies and services sectors. It added its process to identify suitable opportunities will include a review of opportunities where its directors have existing relationships, as well as a methodical review of small cap opportunities across the UK and EU markets.
The proposed amendments were approved mid-January.
Looking ahead, Chair Vinodka Murria, who is newly hired, said: "We will continue to evaluate investment and acquisition opportunities within the group's revised investing policy. As a board we are committed to minimising operating costs during the period until such time as a deal has been concluded. I hope to be able to announce Summerway's first transaction in the coming twelve months."
As at January 29, Summerway Capital had cash of over GBP7.1 million.
By Ife Taiwo; [email protected]
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