Exit and Portfolio Update

Molten Ventures PLC

14 August 2024

 

Molten Ventures plc
("Molten Ventures", "Molten", "the "Group" or the "Company")

Exit and Portfolio Update 

Further realisation of Core Portfolio holding

Molten Ventures (LSE: GROW, Euronext Dublin: GRW), a leading venture capital firm investing in and developing high-growth digital technology businesses, today provides an update on recent developments in its portfolio.

Key highlights are:

• Exit from M-Files via majority recapitalisation investment. 
• Total gross proceeds so far this financial year from Perkbox, Endomag, Graphcore and M-Files now totalling £124 million, representing ~9% of Gross Portfolio Value ('GPV')
• ​Riverlane Series C round successfully raising $75m 
• Portfolio developments continue to underpin Molten's valuation process and net asset value ('NAV')

Core Portfolio Exit

M-FILES

M-Files, an intelligent file management platform and leader in knowledge work automation using generative AI, yesterday announced that it has entered into a definitive agreement for a majority recapitalisation investment led by Haveli Investments, a Texas based technology-focused private equity firm, and Bregal Milestone, a European software private equity firm. The recapitalisation provides a realisation for the entire Molten investment.

Molten first invested in M-Files in the Series A in 2013. Subject to minor adjustments, this deal values Molten's stake at the March'24 holding value of £47.7 million and will deliver a 7.4x multiple on invested capital.

Core Portfolio Investment

RIVERLANE 

In July, quantum computing company Riverlane, a Core Portfolio company, announced the closing of its Series C funding round raising $75m. Riverlane is building the Quantum Error Correction Stack ('QEC') to comprehensively control all qubit types and correct the millions of data errors that prevent today's generation of quantum computers from achieving useful scale. The funding will enable Riverlane to expand operations to meet surging global market demand for QEC technology, with the goal of achieving one million error-free quantum computer operations by 2026. This funding round valuation is above Molten's March'24 holding value.

Martin Davis, Chief Executive Officer, Molten Ventures, commented:

"With this latest realisation, we have surpassed the guidance we gave at the time of our full year results in June, of in the region of £100 million in realisations this financial year. Furthermore, for this financial year we have almost reached our through the cycle target of realisations of 10% of the Gross Portfolio Value. The four recent realisations, of M-Files, Graphcore, Perkbox and Endomag, at valuations at or above our holding value evidence not only the high quality of our portfolio and the rigour of our valuation methodology but also the more active M&A market, which continues to normalise after two difficult years."

-ENDS-

Enquiries:

Molten Ventures plc Martin Davis (Chief Executive Officer) Ben Wilkinson (Chief Financial Officer)	[phone] [e-mail]
Deutsche Numis Joint Financial Adviser and Corporate Broker  Simon Willis Jamie Loughborough Iqra Amin	[phone]
Goodbody Stockbrokers Joint Financial Adviser and Corporate Broker, Euronext Dublin Sponsor Don Harrington Tom Nicholson William Hall	[phone]
Sodali & Co Public relations Elly Williamson	[phone] [e-mail]

About Molten Ventures

Molten Ventures is a leading venture capital firm in Europe, developing and investing in disruptive, high growth technology companies. We inject visionary companies with energy to help them to transform and grow. This energy comes in many forms - capital, of course, but also knowledge, experience, and relationships. We believe it is our role to support the entrepreneurs who will invent the future, and that future is being built, today, in Europe.

As at 31 March 2024, Molten Ventures had a diverse portfolio with shareholdings in 118 companies, 20 of which represent our Core holdings and account for 62% of the Gross Portfolio Value. Our Core companies include Thought Machine, Coachhub, Aiven, Ledger and Aircall. We invest across four sectors: Enterprise Technology, Hardware and Deeptech, Consumer Technology, and Digital Health and Wellness, with highly experienced partners constantly looking for new opportunities in each. We look for high-growth companies operating in new markets, with high potential for global expansion, strong IP, powerful technology, and strong management teams to deliver success. We also look for businesses with the potential to generate strong margins to ensure rapid, sustainable growth in substantial addressable markets

A member of the London Stock Exchange's FTSE 250, Molten Ventures provides a unique opportunity for public market investors to access these fast-growing tech businesses, without having to commit to long term investments with limited liquidity. Since our IPO in June 2016, we have deployed over £1bn capital into fast growing tech companies and have realised over £520m to 31 March 2024. For more information, go to https://www.moltenventures.com/ 

 

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