5 March 2019
Augmentum Fintech
plc
Company Update and
Capital Markets Day
Augmentum Fintech plc (LSE: AUGM) (“Augmentum” or the
“Company”), the UK’s only publicly listed fintech venture capital
fund, today announces an update on its progress, ahead of its
Capital Markets Day being held today:
- The portfolio now comprises investments in fifteen fintech
companies, including nine made since the Company’s IPO.
- Since the IPO, more than 500 opportunities with a combined
value of over £1 billion have been reviewed, and 90% of the deals
where the Company has offered term sheets have been secured.
- Having deployed £32.4m since the IPO, and with £15 million
earmarked for follow-on investments into the existing portfolio,
the Company has now substantially fully committed the net cash
proceeds of the IPO.
- The Company has a pipeline of investment opportunities in
excess of £300 million across all target sectors and geographies,
and intends to continue to grow its portfolio.
Portfolio
The portfolio has continued to perform well. Key milestones
since the Interim Results include Tide (in partnership with
Clearbank) being awarded £60 million from the Banking Competition
Remedies process in February 2019;
Zopa being granted its banking licence (with restrictions) in
December 2018; and interactive
investor agreeing to acquire Alliance Trust Savings (subject to
regulatory approval) in October 2018
which brings together the two largest fixed price retail investment
platforms.
Since the Interim Results on 26 November
2018 the Company has invested a further £17.4 million into
new and exciting portfolio companies. Additions to the portfolio
include: iwoca (the challenger SME lender (£7.5 million)); Farewill
(the all-in-one financial and legal services platform for dealing
with death (£4.0 million)); Onfido (a leading global provider of
online identity verification (£4.0 million)); and, an additional
£1.0 million into Tide.
Portfolio as at 30
September 2018 |
|
Fair value of
holding at 30 September 2018
£m |
% of
portfolio |
Zopa |
22.0 |
30.8 |
BullionVault |
8.4 |
11.8 |
Monese |
5.9 |
8.3 |
Interactive Investor |
4.7 |
6.6 |
Tide |
3.0 |
4.2 |
Unmortgage |
2.5 |
3.5 |
Previse |
2.0 |
2.8 |
Duedil |
2.0 |
2.8 |
Seedrs |
1.9 |
2.7 |
SRL Global |
1.5 |
2.1 |
30 September 2018 Total |
53.9 |
75.6 |
Portfolio additions since 30 September 2018 |
|
Cost
£m |
% of
portfolio |
iwoca |
7.5 |
10.5 |
Farewill |
4.0 |
5.6 |
Onfido |
4.0 |
5.6 |
Tide |
1.0 |
1.4 |
Other |
0.9 |
1.3 |
Total Additions |
17.4 |
24.4 |
Total Portfolio |
71.3 |
100.0 |
Deployment
Based on fair values of investments at 30
September 2018 and the cost of additional investments since
that date, the portfolio stands at £71.3 million. At the
30 September 2018 NAV this makes the
Company 73% invested. There is clear visibility on several
follow-on opportunities within the existing portfolio, which we
estimate will total in the region of £15 million. As a consequence,
the Company has now substantially fully committed the net cash
proceeds from the IPO.
Pipeline
The pipeline currently has approximately £300 million of
opportunities across all target sectors and geographies, which
continues to grow. There is clear demand for patient capital with
sector focus and expertise in the fintech market, and the Company
expects to issue further ordinary shares in due course in order to
continue the growth in its portfolio.
Capital Markets Day
The Company is today hosting a capital markets day for investors
and analysts in the City of
London, and John Glen MP, the Economic Secretary to the
Treasury and City Minister, will be speaking at the opening of the
event.
No material new information will be provided at the event.
Commenting, Tim Levene, CEO of
Augmentum Fintech, said: “We set out to establish Augmentum Fintech
plc as one of Europe’s preeminent investors in the fintech space.
In less than a year we believe that we have achieved that. We have
now substantially fully committed the initial proceeds from the
IPO, across a portfolio that represents the very best in European
fintech.
“Augmentum remains the only UK listed fund that exclusively
invests in the fintech sector, and as a closed-end fund we are able
to provide patient capital. This means that we can commit to
support fintech companies at a crucial stage in their early
development.
“The wider UK capital markets’ lack of exposure to fintech
venture capital remains a challenge for the sector’s ecosystem.
Augmentum has created a structure that gives investors a more
straightforward opportunity to access this emerging asset class
through investment in a public company.”
Ends
For further information, please
contact:
Augmentum
+44 (0)7802 362088
Nigel Szembel
nigel@augmentum.vc
Fidante Capital
+44
(0)20 7832 0900
Tom Skinner
Nick Donovan
Peel Hunt
+44 (0)20 7418 8900
Luke Simpson
Liz Yong
Notes
About Augmentum Fintech plc:
Augmentum Fintech plc is one of Europe’s leading venture capital
investors focusing exclusively on the fintech sector. Augmentum
invests in fast growing fintech businesses that are disrupting the
banking, insurance, asset management and wider financial services
sectors. Augmentum is the only listed fintech-focused venture
capital firm in the UK, having launched on the main market of the
London Stock Exchange in 2018, giving businesses access to patient
capital and support, unrestricted by conventional fund
timelines.