Q3 Results

Seraphim Space Investment Trust PLC

23 May 2023

 

23 May 2023

SERAPHIM SPACE INVESTMENT TRUST PLC

("SSIT" or "the Company)

Q3 Results

Seraphim Space Investment Trust plc (LSE: SSIT), the world's first listed SpaceTech investment company, announces its third-quarter results for the period ended 31 March 2023.

The full Q3 report can be found at https://investors.seraphim.vc/results/seraphim-space-investment-trust-q1-report-presentation-manager-powerpoint-presentation/, summary below:

Financial Summary
	31 March 2023	31 December 2022	Change
NAV	£219.7m	£222.0m	-1.0%
NAV per share	91.77p	92.74p	-1.0%
Portfolio  valuation	£180.8m	£181.2m	-0.2%
Portfolio fair value vs cost	96.5%	97.2%
Market capitalisation	£89.9m	£108.2m	-16.9%
Share price	37.6p	45.2p	-16.9%
-Discount/+premium	-59.1%	-51.3%
Ongoing charges	1.86%	1.88%
Number of shares in issue	239.4m	239.4m
Liquid resources	£39.1m	£40.9m	-4.4%

Q3 Highlights

·    Overall portfolio valuation slightly decreased by £0.5m to £180.8m during the quarter, driven by an unrealised fair value reduction of £1.3m, partially offset by investment of £0.9m

·      Portfolio fair value slightly down to 96.5% of the overall cost

·      One follow-on transaction was completed during the period, totalling £0.9m

·      Net assets of £220m and market capitalisation of £90m as at 31 March 2023

·      At 31 March 2023, the Company had investments in 29 SpaceTech companies

·     Portfolio remains well-capitalised and the Company had cash reserves of £39m (18% of NAV) at 31 March 2023

·     Underlying portfolio commercial progress is strong but remains lumpy, with the top 10 companies (70% of NAV) growing revenues by 34% in the 6 months to 31 March 2023 on a fair value weighted average basis

Top 10 Holdings

Company	Fair Value (£m)	NAV
ICEYE	42.5	19.4%
ALL.SPACE	21.8	9.9%
HawkEye 360	20.2	9.2%
D-Orbit	18.1	8.2%
Satellite Vu	11.9	5.4%
Astroscale	10.1	4.6%
Altitude Angel	9.9	4.5%
LeoLabs	9.1	4.2%
PlanetWatchers	5.9	2.7%
Xona Space Systems	5.0	2.3%
Total	154.4	70.3%

Transactions Completed During the Period
Company	Segment	Sub-sector	HQ	Type	Cost (£m)
QuadSAT	Downlink	Communications	Denmark	Follow-on	0.9

Post Period Highlights

·    £2.1m follow-on investment in Satellite Vu completed

·    New investment of $0.6m completed into a new early stage company that aims to bring transparency to carbon project ratings by leveraging satellite data

Will Whitehorn, Chair of Seraphim Space Investment Trust plc, commented:

"According to the Seraphim Space Index of global space private investment activity, the first quarter of 2023 saw a bounce from lows in Q4 22, with private investment increasing by over 60%. European transactions were particularly strong relative to North America. Importantly, the quarter witnessed a strong pick-up in growth-stage investment activity globally, with a record number of growth transactions financed, and with later-stage investments rebounding after the lows of Q3 and Q4 2022. 

These broader industry private investment trends were aligned with SSIT's experience in the period. We continue to believe that the space opportunity remains significant and that SSIT remains well equipped, with the vast majority of its portfolio companies currently maintaining over 12 months of cash runway and SSIT itself having a cash position of £39m to capitalise on the continued strength of new investment opportunities."

Mark Boggett, Chief Executive Officer, Seraphim Space Manager LLP, said:

"The quarter saw the team focused on portfolio activities whilst continuing to build a pipeline offering exposure to the highest calibre SpaceTech companies. Over the quarter, we supported an important emerging portfolio company, QuadSAT, and closed an additional follow-on investment and a new early-stage investment after the period end.

In aggregate, the SSIT portfolio continued to weather the macro-economic headwinds, with NAV largely stable whilst underlying commercial performance remains robust with the top 10 private companies (70% of NAV) growing revenues by 34% in the 6 months to 31 March 2023 on a fair value-weighted average basis.

We are seeing continued signs of investor recovery in SpaceTech and, while still early, the initial signs show larger growth rounds potentially coming back as highlighted by portfolio company Astroscale's recent $76m Series E round. Sizeable terms sheets in hand for multiple companies in the core portfolio after the period end illustrate continued and heightened interest from growth investors. Despite this, our focus remains on runway extension at the portfolio company level and cash preservation at the SSIT level to optimise SSIT's risk-return profile."

The Company will be hosting a virtual presentation for analysts at 9.30 am today. Please email [e-mail] to register. An online presentation for retail investors will also take place at 11.00am Click here to register.

-Ends-

Media Enquiries
Seraphim Space Manager LLP (via SEC Newgate)
Mark Boggett, CEO / James Bruegger, CIO / Rob Desborough
SEC Newgate (Communications advisers)	[e-mail]
Clotilde Gros / George Esmond  / Harry Handyside	[phone]
Deutsche Bank
Mark Hankinson / Gavin Deane / Neil Coleman	[phone]
J.P. Morgan Cazenove
William Simmonds / Jérémie Birnbaum / Rupert Budge	[phone]
Ocorian Administration (UK) Limited	[e-mail]
Lorna Zimny	[phone]

Notes to Editors:

Seraphim Space Investment Trust plc (the "Company" or "SSIT) is the world's first listed fund focused on SpaceTech. The Company seeks exposure predominantly to early and growth stage private financed SpaceTech businesses that have the potential to dominate globally and that are sector leaders with first mover advantages in areas such as climate, communications, mobility and cyber security.

The Company is listed on the Premium Segment of the London Stock Exchange. Further information is available at:  https://investors.seraphim.vc

About the Company

Seraphim Space Investment Trust PLC (the "Company" or "SSIT") is the world's first listed SpaceTech fund.  It is an externally managed closed-ended investment company that was launched in July 2021.  SSIT seeks to generate capital growth over the long term through investment in a diversified, international portfolio of predominantly early and growth stage privately financed SpaceTech businesses that have the potential to dominate globally and are category leaders with first mover advantages in areas such as global security, food security, climate change and sustainability. The Company's shares are traded on the London Stock Exchange's main market.

Find us online: https://investors.seraphim.vc/

 

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