IP Group 2013 interim results

DividendMax Ltd.

IP Group 2013 interim results

Financial and operational highlights

Net assets at 30 June 2013: £261.6m (HY12: £250.7m; FY12: £263.1m)

Net cash and deposits at 30 June 2013: £38.1m (HY12: £43.2m; FY12: £47.9m)

Adjusted profit before tax of £0.5m (HY12: £31.2m; FY12: £46.7m) excluding £2.5m reduction in fair value of Oxford Equity Rights asset (HY12: £2.5m; FY12: £6.0m)

Statutory loss before tax of £2.0m (HY12: £28.7m profit; FY12: £40.7m profit)

New intellectual property commercialisation agreement signed with The University of Manchester

Launch of £30m IP Venture Fund II in partnership with the European Investment Fund (the "EIF")

Portfolio highlights

Fair value of investment portfolio: £191.9m (HY12: £171.5m; FY12: £181.8m)

Value of ten largest holdings: £145.7m (HY12: £132.2m; FY12: £138.2m)

Investment in portfolio companies: £10.8m (HY12: £15.8m; FY12: £26.3m)

Portfolio realisations: £2.8m (HY12: £0.5m; FY12: £16.7m)

The Group's portfolio companies raised approximately £55m of new capital during the period

Post-period-end highlights

Retroscreen Virology Group plc raised gross proceeds of £25.5m in a July placing

Ceres Power Holdings plc entered a partnership agreement with South Korea's KD Navien and announced Philip Caldwell as incoming CEO

Avacta Group plc completed a £4.7m placing (before expenses) in August

Net unrealised fair value increase in the Group's holdings in quoted companies of £13.4m between 30 June 2013 and 20 August 2013

Commenting on the Group's half-yearly results, Alan Aubrey, Chief Executive of IP Group, said:

"It has been another productive first half for both the Group and its portfolio companies. At Group level, we were pleased to have reached agreement with the EIF on a second fund and to have signed a commercialisation agreement with The University of Manchester. In the portfolio, not only have some notable commercial and technical milestones been achieved, but it was also pleasing that our companies raised approximately £55m of financing during the period. Progress across our portfolio has continued into the second half of the year, with Retroscreen having raised £25.5m, while Ceres Power announced its first OEM partner. The Group continues to see an excellent pipeline of opportunities which, coupled with the overall maturing of our portfolio across investment stages, gives us increasing confidence in our ongoing ability to deliver significant shareholder value."

Companies mentioned