Augmentum Fintech saw its net asset value per share rise 2.4 per cent last year, despite ‘challenging’ market conditions.
Net asset value dropped slightly from £295mn in 2022 to £294mn this year, according to a results statement to the stock exchange.
The fintech fund has seen an internal rate of return of 18.5 per cent on invested capital since it started.
The fund invested £19.9mn in two new companies and eight existing portfolio investments in the year to March 31, and there have now been five exits from the portfolio since inception.
Tim Levene, chief executive of Augmentum Fintech Management said the fund’s 10 highest value holdings have seen revenue growth of 117 per cent year-on-year.
“[They have] raised over US$300mn (£236mn) in capital during a challenging macroeconomic and fundraising environment.
“We are seeing a material increase in the number of compelling investment opportunities at more pragmatic valuations and expect that to continue into 2024.”
Analysts at Peel Hunt said there is plenty of ‘dry powder’ in venture capital and the trend of incumbents expanding their relationships with fintechs continues.
“With a strong balance sheet, Augmentum is in a position to capitalise on opportunities in the next 12 months, but we expect the managers to remain highly selective,” they said.
“The opportunity set also includes secondaries at the right valuation. As we have seen from recent exits, Augmentum does not rely on the IPO market for value crystallisation, and many of the assets in the portfolio have significant strategic value.”
sally.hickey@ft.com
