Literacy Capital PLC

Portfolio Update

RNS Number : 7613L
Literacy Capital PLC
15 September 2021

The information contained in this announcement is restricted and is not for publication, release or distribution in the United States of America, any member state of the European Economic Area, Canada, Australia, Japan or the Republic of South Africa.


This announcement contains inside information.


15 September 2021


Literacy Capital plc ("Literacy Capital" or the "Company")


Sale of Wifinity completes, at a 110% premium to carrying value and generates an estimated NAV uplift of 6.0p, or 3.3%, per share for Literacy Capital


Portfolio update


Literacy Capital is pleased to announce that Lloyds Development Capital ("LDC") has backed a management buy-out of Wifinity, a wifi provider to hard-to-reach campus locations. This transaction supports Costas Demetriou, as he steps into the CEO role from his existing position as CFO, and the rest of the management team to continue to develop the business, while allowing the founding shareholders to exit.


As at 30 June 2021, Wifinity was Literacy Capital's 10th largest underlying investment and represented £3.2m, or 3.0%, of NAV.


The transaction values Literacy Capital's stake in Wifinity at a 110% uplift to its carrying value at 30 June 2021. The estimated uplift from this transaction relative to Literacy Capital's net asset value at 30 June 2021 is approximately £3.6m (equivalent to 6.0p per share), or 3.3%.


Had Wifinity and Butternut Box been valued on 30 June 2021, in line with the valuations in this announcement and the announcement made on 10 August 2021, the Company estimates that Literacy Capital's net asset value per share on 30 June 2021 would have been 202.0p.


Literacy Capital has chosen to re-invest 100% of its proceeds at completion into the transaction, retaining a minority stake in Wifinity, alongside the new backer, LDC.




Singer Capital Markets Securities Limited:


Robert Peel / Amanda Gray

+44 (0) 20 7496 3000


Literacy Capital plc / Literacy Capital Asset Management LLP:


Tom Vernon

+44 (0) 20 3960 0280


LEI: 2549006P3DFN5HLFGR54


A copy of this announcement will be available on the Company's website at

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