IP Group news 0

IP Group plc (LSE: IPO), the developer of intellectual property based businesses, today announces its half-yearly results for the six months ended 30 June 2011.

Financial and operational highlights

• Successful completion of placing and open offer, realising gross proceeds of £55.0m
• Net assets at 30 June 2011: £222.6m (HY10: £167.4m; FY10: £173.1m)
• Investment in portfolio companies increased to £5.5m (HY10: £3.1m; FY10: £6.9m)
• Portfolio realisations: £0.2m (HY10: £0.7m; FY10: £2.7m)
• Revenue from services: £1.1m (HY10: £1.1m; FY10: £2.2m)
• Net cash and deposits at 30 June 2011: £67.7m (HY10: £23.9m; FY10: £21.5m)
• Widening of partnership with University of Oxford through strategic stake in Technikos LLP
• Appointment of Greg Smith as Chief Financial Officer
• Appointment of Jonathan Brooks as Non-executive Director (announced today)

Portfolio highlights

• Fair value of investment portfolio: £115.3m (HY10: £101.3m; FY10: £110.0m)
• Value of ten largest holdings: £84.4m (HY10: £74.2m; FY10: £81.3m)
• Oxford Nanopore Technologies Limited completes further £25.0m private financing
• Revolymer Limited completes £5.8m fundraising
• £2.9m cash realised in July 2011 through sale of the Group’s holding in Amantys Limited

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

“The first half of 2011 has been a strong period for the Group, during which we have significantly strengthened our balance sheet by successfully raising £55.0m before costs. The Group now has the flexibility to maintain or increase stakes in promising post-seed opportunities whilst also increasing its overall rate of capital deployment.

At the same time, the underlying performance of companies in the Group’s portfolio during the period has been encouraging. While the share price performance of the quoted companies in the Group’s portfolio has been impacted by the generally weaker performance of equity markets during the period, this has been offset by a net gain in the value of the unquoted portfolio. Two of our largest unquoted companies, Oxford Nanopore Technologies and Revolymer, received significant endorsement for their respective strategies through the raising of a combined £30.8m.

The second half of the year has started well with the Group having already recorded more realisations in the eight months to date than in the whole of 2010. We continue to believe that innovation has never been of such importance to the UK economy and that the Group will play an increasingly central role in helping UK innovation to reach the market. Overall, IP Group remains extremely well placed to deliver medium to long-term value for shareholders.”

For more information, please contact:

IP Group plc
Alan Aubrey, Chief Executive Officer	020 7444 0050
Greg Smith, Chief Financial Officer	020 7444 0050
Liz Vaughan-Adams, Communications	020 7444 0062 / 07979 853 802

Further information on IP Group is available on our website: www.ipgroupplc.com.

Financial Dynamics
Ben Atwell, John Dineen	020 7831 3113

IP Group plc is referred to as “IP Group”, “the Group” or “the Company”.

This half-yearly results release may contain forward-looking statements. These statements reflect the Board’s current view, are subject to a number of material risks and uncertainties and could change in the future. Factors which could cause or contribute to such changes include, but are not limited to, the general economic climate and market conditions, as well as specific factors relating to the financial or commercial prospects or performance of individual portfolio companies within the Group’s portfolio of investments.

Half-yearly results can be viewed in the PDF file format (PDF 266KB opens in a new window)