Vela Technologies is an investing company focused on early stage and preIPO long-term disruptive technology investments. There are currently 12 investments in the portfolio which either have developed ways of utilising technology or developing technology with a view to disrupting the businesses or sector in which they operate.
Vela’s investment policy gives it a wide remit to invest in disruptive technology businesses, while at the same time following some more focussed principles. Vela is looking for companies to have four key components: a strong management team; an innovative scalable product proposal; revenue enhancing or cost saving capabilities; and high growth potential.
Vela has built an investment portfolio which currently contains holdings in 12 disruptive technology companies operating across a range of sectors. Major holdings include stakes in travel technology business Portr (trading as AirPortr), social payments (VibePay) and ticketing (VibeTickets) platforms provider Vibe Group and social e-commerce platform developer WeShop.
More recently, Vela has expanded its focus towards potential investments in listed companies, seeking to take advantage of unloved and undervalued businesses which it believes have the potential to deliver growth or are priced at a significant discount to net assets. Current listed holdings include crypto miner Argo Blockchain, big-data analytics firm Rosslyn Analytics and blockchain technology platform provider Interbit.
We calculate a current investment portfolio value of £2.057 million, with net assets of £1.72 million. Vela’s market cap of £1.46 million is therefore a 15% discount to our estimated sum-of-the-parts. While this discount is in line, if not slightly higher than, discounts seen amongst similar listed venture capital/small cap style investment entities, we see significant upside potential for investors given a number of material valuation upside opportunities across Vela’s portfolio. Speculative Buy.