10th Feb 2023 11:59
(Alliance News) - Vela Technologies PLC on Friday said total assets increased in the third quarter as investee company EnSilica PLC's high turnover boosted its share price.
Vela shares were up 11% trading at 0.019 pence per share on Friday at midday in London.
The Bingley, England-based investing company focused on early stage and pre-IPO long term disruptive technology investments said total assets had increased in the third quarter to December 31 to GBP6.9 million, up 8.3% from GBP6.4 million at September 30.
Executive Director James Normand said the increase was "largely attributable to a rise in the quoted price for EnSilica's shares in this period, which we believe reflects the market's recent greater appreciation of the commercial prospects of the business which prompted us to invest in the company at the pre-IPO stage a year ago.
"We have taken the opportunity to crystallise some of this appreciation by selling about one third of our investment in EnSilica, As a result Vela's cash resources have been replenished, thus putting the company in a position where it can take advantage of promising investment opportunities that continue to be shown to us."
Vela's cash balance at the end of the third quarter was GBP864,000, increasing 34% from GBP646,000 three months earlier.
EnSilica shares were down 1.7% trading at 85.00 pence per share on Friday at midday; the stock is up 67% over the past 12 months.
Vela sold 565,000 shares in EnSilica during the third quarter, generating GBP387,000, and realising profit of GBP133,000.
In October, EnSilica reported a 77% increase in turnover, and in December announced two new contracts with existing customers worth GBP3.6 million.
Vela said the fair value of its investment portfolio was GBP6.1 million at December 31, up 2.9% from GBP5.9 million at September 30.
By Harvey Dorset, Alliance News reporter
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