Hybridan Small Cap Feast - 28 Mar 23

28 March 2023 @HybridanLLP Status of this Note and Disclaimer This document has been issued to you by Hybridan LLP for information purposes only and should not be construed in any circumstances as an offer to sell or solicitation of any offer to buy any security or other financial instrument, nor shall it, or the fact of its distribution, form the basis of, or be relied upon in connection with, any contract relating to such action. This document has no regard for the specific investment objectiv

Hybridan Research: 28/03/2023: TMT Investments plc: Cautious optimism and a disciplined approach in early/mid-stage tech investment

TMT Investments today announces its final results for the year ended 31 December 2022. Total NAV was US$201.7m (down 28.7% from US$283.1m as of 31 December 2021). This translates to NAV per share of US$6.41 (compared to US$9.00 as of 31 December 2021), mainly due to downward revaluations of Backblaze by 64% and Bolt by 33% as a result of stock markets sell-off leading to reduced valuations for some start-ups. Administrative expenses were US$1.4m, down 25% and reflecting a reduced level of invest

Cenkos: TMT Investments Plc -- Final Results Update

TMT Investments, the specialist investment company focussed on private companies in core technology sectors around the world, has released FY22A final results, with period-end NAV at $201.7m, or $6.41/share. The top three investments, Backblaze, Bolt and PandaDoc represented 51.4% of FY22A NAV and 124.8% of the current share price of $2.64 cents, now at a 58.8% discount to the $6.41 FY22A NAV. TMT has a highly experienced investment team with a strong track record focussed on companies already d

Hybridan Small Cap Feast 13/12/2022

Dish of the day Joiners: Savannah Energy’s (SAVE.L) shares have been re-introduced following a reverse take over in connection with the acquisition of Exxon Mobil Corporation's entire upstream and midstream asset portfolio in Chad and Cameroon. Leavers: No leavers today. What’s cooking in the IPO kitchen?** Celsius Resources intends to join AIM. Currently ASX listed, Celsius is a natural resources exploration and development company principally seeking to explore and develop potential world-clas

Hybridan Research: 12/12/2022: TMT Investments plc: Sustainability through digital transformation

We have published research on TMT Investments plc, which is attached and a snapshot of the research is below. TMT unveiled its ESG policy in its 2021 annual report and its intention to invest in technology that results in tangible benefits in terms of productivity, user experience, efficiency, positive impact in specific sectors, profitability or other desired objectives. As such, the Company has made a number of investments in ESG-focused companies that also meet TMT’s investment criteria. A

Hybridan Small Cap Feast 19/08/22

Dish of the day Joiners: No joiners today. Leavers: No leavers today. What’s cooking in the IPO kitchen?** Unigel Group, intends to join the Aquis Growth Market. Unigel Group is a pioneer in the field of thixotropic gels for the fibre optic cable industry. The Company is also a supplier of laminated steel tapes to the fibre optic cable industry in the US. Thixotropic gels and laminated steel tapes are essential components to the rapidly growing global fibre optic cable market. The Group exports

Hybridan Small Cap Feast 16/08/22

Joiners: No joiners today. Leavers: No leavers today. What’s cooking in the IPO kitchen?** Unigel Group, intends to join the Aquis Growth Market. Unigel Group is a pioneer in the field of thixotropic gels for the fibre optic cable industry. The Company is also a supplier of laminated steel tapes to the fibre optic cable industry in the US. Thixotropic gels and laminated steel tapes are essential components to the rapidly growing global fibre optic cable market. The Group exports to over 40 count

Hybridan Research: 16/08/22: TMT Investments plc: Cautious optimism amid macro uncertainties

TMT Investments announced its interim results for the six months ended 30 June 2022. Portfolio NAV declined 25.8% to US$210.1m from US$283.1m as of 31 December 2021. This translates to NAV per share of US$6.68 (compared to US$9.00 as of 31 December 2021), mainly due to downward revaluations of Backblaze by 69% and Bolt by 28%. Administrative expenses decreased by 4% year-on-year to £772k, reflecting a lower level of investment and business development activities during the period. No bonus was

Cenkos: TMT Investments Plc -- Interim Results

TMT Investments, the specialist investment company focussed on private companies in core technology sectors around the world, has released interim results, showing an anticipated decline in NAV per share to US$6.68 following the recent technology sector sell off, a good performance during a volatile period economically and in the market. Several portfolio companies raised further equity capital at increased valuations during the period, despite the market volatility, validating these business mo

Hybridan Small Cap Feast 25/03/22

Joiners: Beacon Rise Holdings (BRS.L) joins the Main Market. The Company was formed to undertake acquisitions of UK or EU businesses or assets with operations in the primary and secondary segment of the education technology sector. The Company does not have any specific acquisitions under consideration at present and does not expect to engage in substantive negotiations with any target business or asset until after Admission. Leavers: No Leavers Today. What’s cooking in the IPO kitchen? Asimilar

Cenkos: TMT Investments Plc -- FY21 Finals – Deep discount to NAV

TMT Investments, the specialist investment company focussed on private companies in core technology sectors around the world, has released FY21 final results showing a further strong increase in NAV to US$9.00 (FY20 US$6.10), up 47.5% and over double the current price. This increase has been driven by numerous capital raising events with portfolio companies at higher valuations. TMT has built a diversified investment portfolio of over 50 companies, with emphasis on big data/cloud, e-commerce, Sa

Hybridan Research: 25/03/22: TMT Investments PLC: 47.5% NAV/Share growth & strong outlook reflects portfolio diversity & robust investment process

TMT Investments plc today announced final results for the year ended 31 December 2021.We have published research on this which is attached and a snapshot of the research is below. The venture capital Company investing in high-growth technology companies has reported final results for FY December 2021. In another outstanding performance, the Company’s NAV per share increased by 47.5% in 2021 to US$9.00 (from US$6.10 as of 31 December 2020), mainly as a result of the significant upward revaluatio

Hybridan Research: TMT Investments plc: 11/01/2022: €628m fundraise by Bolt represents $37.2m uplift in TMT’s holding

The venture capital company investing in high-growth technology companies has updated on developments in the Company’s portfolio, since the publication of the Company’s previous portfolio update on 19 October 2021. The most substantial revaluation relates to TMT’s portfolio company Bolt, a leading international ride-hailing and food delivery company (www.bolt.eu), which announced today that it had successfully raised €628m (approx. US$711m) in a new equity finance round led by Fidelity, Sequoia

Hybridan Small Cap Feast 11-01-2022

Joiners: Electric Guitar (ELEG.L) was established in 2021 through the issue of shares to the founders as a special purpose acquisition vehicle which will seek an acquisition target in the digital media sector. The Company intends to act as a consolidator and operator in the digital advertising market. The Company has today joined the Main Market. £1.2m raise. Mkt cap £1.74m. Leavers: Amryt Pharma has left AIM. Its American Depositary Shares remain trading on NASDAQ. What’s cooking in the IPO kit

Cenkos: TMT Investments Plc -- Strong portfolio progress

TMT Investments, the specialist investment company focussed on private companies in core technology sectors around the world, has announced a portfolio update with several significant revaluation events leading to a gross US$1.29 per share increase in NAV. Bolt, the international ride-handling and food delivery business, has announced today that it has successfully raised €628m (cUS$711m) valuing the company at €7.4bn and providing a US$37.2m uplift to the value of TMT's holding to US$103.4m (up

CMD - Broadening & deepening client relationships

A dose of morosity

No change in the narrative. Aviva’s ship sails on as usual. The PRT business is still going well, inflation remains an impediment to a strong P&C improvement, retail customers seem more interested in the rising cost of living than savings’ products and Aviva investors see no real signs of an improvement. This is the same story as in recent quarters and, in that context, our thesis remains the same.

'Airlines will be shocked when Covid leases run out and rates go up’

The Opportunity in Short-Termism

Fears vs Fundamentals (again) For 2 years, European banks have enjoyed potent earnings upgrades. For 2 years, valuations have been trapped between ''unease'' and ''outright panic'' multiples. This note looks at the latest fears and fundamentals behind this ongoing struggle. We extract lasting lessons from Q1, a record profit quarter, and extend our work on the fears of the moment: ''peak NIM'', CRE and credit contraction. Peak NIM - no, not yet We refresh our top-down margin work for the late

In the Flow

Industry flows - bond funds remain preferred over equities Risk appetite for equity funds remained subdued with last week seeing $4bn net outflows (negative in 8 of the last 9 weeks). Flows worsened sequentially for Asia/EM categories, but improved for US and European equities. Bond funds saw inflows for a 10th straight week (c.$8bn) with broad based inflows across US government, IG and HY funds. Listed asset managers flows - inflows into ETFs, outflows from mutual funds ETFs net inflows contin

Morning Note – 30 May 2023

NAHL Group plc: AGM update: Continued progress in scaling the business for future growth

NAHL’s AGM statement released today, is encouraging as management continues to scale the businesses for further growth. As a result, the Board’s expectations for the full year remain unchanged and we make no alterations to our forecasts. As a reminder, these still call for a c.13% increase in adjusted PBT in 2023, c.170% in FY24 and a further c.70% in FY25. Our current fair value remains at 65p but this is likely to rise as the Group delivers on its significant potential.

WH Ireland: Avation - Market tailwinds highlighted in Bloomberg Intelligence event

Avation is a lessor of 35 commercial aircraft to a diversified client base of 17 airlines. Yesterday's Bloomberg Intelligence webinar event entitled ‘Aircraft Lessor Recovery and Innovation' reaffirmed a number of positive market trends for aircraft lessors at the present time. Key points included: i) structural deficits in the supply of turboprop aircraft in the coming years, with aircraft retirements expected to outpace limited production of new aircraft; ii) the strong recovery in air travel

Early Mover in UK Lab-grown Meat

BSF Enterprise Plc (BSF) is a biotechnology company focused on acquiring, combining, and building businesses in the lab-grown tissue space. It aims to achieve this through an acquisition-led growth strategy and has already acquired the tissue engineering and cellular agriculture company, 3D Bio Tissues.

Very strong CY22 - CY23 upgraded 10%

Trading update indicates strong FY23 performance

An Asian exploration

We spent last week with HSBC and STAN in Hong Kong and Singapore, delving into the detail of structural drivers for Asia. Both banks have a good story to tell, with business models that are well positioned and being enhanced further. In isolation we did not learn enough to warrant a change in recommendation but tailwinds from the region are not to be overlooked. A deep dive into a core part of the investment case Asia sits at the core of the investment case for both HSBC and STAN given its share

c.60% discount to NAV... Can deep value prevail?

Petershill (PHP) reported a Q1-23 double digit % headline miss on FRE/DE mostly driven by cyclical factors. However, fundraising was resilient including more closings after quarter end and PHP reiterated FY2023 guidance ($220-250m FRE). We remain outperform, 250p target price. Weakness on headline earnings amid a muted industry backdrop Private markets are being tested in 2023 with private equity deal activity down c.50-80% y/y. In this context, the headline Q1 miss was mostly driven by cyclica

Revisiting the key debates

In this note, we revisit the key debates on ICG following FY23 results. ICG reported a +5% FMC PBT beat vs. csus. driven by lower costs and better than expected investment company returns in H2. We continue to see a more attractive risk/reward for the shares but remain neutral for now. Deployment and fundraising resilient in a challenging market backdrop Debate with investors has focussed on whether private debt focussed ICG can benefit as banks tighten/retrench from lending to private equity b

XPS CMD articulates growth potential