Net Asset Value calculation as at 31 March 2024

Agronomics Limited
07 May 2024
 

7 May 2024

Agronomics Limited

("Agronomics" or the "Company")

Net Asset Value calculation as at 31 March 2024

Agronomics Limited (AIM:ANIC), the leading listed company focused on the field of cellular agriculture, announces that its unaudited Net Asset Valuation ("NAV") per share calculation as at closing on 31 March 2024 was 16.98 pence per share, a 0.5% increase from 16.90 pence per share at 31 December 2023. Net Assets were £171 million, including investments of £153 million and uninvested cash and short-term deposits of £19 million.

The share price of 8.80 pence at the 31 March 2024 close represented a discount of 48% to the 31 March 2024 NAV per share. The average discount to the prevailing NAV per share over the last 12-month period was 38%. Under IFRS, the Company's unquoted investments are generally carried at cost or the most recent priced funding round.

Jim Mellon, Chair of Agronomics, commented:

"We are delighted by the significant progress made by our portfolio during the quarter, successfully closing a number of funding rounds at a time when wider venture capital funding is challenging as the result of macro-economic uncertainty .

Highlights included a €30 million funding round for cultivated meat company Meatable, led by Agronomics alongside a new investor, Invest-NL. UK-based Clean Food Group also completed a £2.5 million funding round to commercialise its fermentation-derived palm oil. In addition, Liberation Labs is also making significant progress in securing the further US$ 55 million fundraise as announced on 5 April 2024 to help construct its facility, enabling precision fermentation at a commercial scale.

These successes highlight the industry-leading quality of the companies within our portfolio, and we look forward to their continued growth and commercial development.

Agronomics continues to have a strong cash balance and has no intention to raise capital, while trading at a discount to NAV.

Financing

During the period, 1,659 new ordinary shares were issued following the exercise of warrants. Gross proceeds of £498 were received by the Company.

During the period, no fees were payable or accrued relating to the Shellbay Investments Limited Agreement.

Investment review

During the 3-month period, the Company had two positive revaluations and saw the portfolio companies receive government support and form new strategic partnerships:

·    6 February 2024 - Bond Pet Foods, the US-based company that produces animal proteins through precision fermentation, delivered two metric tons of animal protein to one of the most popular pet food providers in the US, Hill's Pet Nutrition Inc - a division of the Colgate-Palmolive Company.

·    14 February 2024 - California Cultured Inc. reached a partnership agreement with the Japanese company Meiji Co., Ltd, Japan's largest chocolate manufacturer, involving a 10-year-long arrangement for the supply and integration of California Cultured's cell-cultured flavanol cocoa powder into an array of products tailored for both the US and Japanese markets.

·    13 March 2024 - Shiok Meats Pte. Ltd. was acquired by UMAMI Bioworks Pte. Ltd. in a share-for-share transaction, and subject to audit, this position will be carried forward at a book value of £0.378 million.

·    18 March 2024 - Good Dog Food Ltd created the world's first cans of pet food that use cultivated chicken as a protein source. 

·    20 March 2024 - Formo Bio GmbH partnered with Those Vegan Cowboys, a Belgium-based company focusing on precision fermentation-derived caseins.

·    21 March 2024 - SuperMeat The Essence of Meat Ltd announced the conclusions from a Life Cycle Assessment, projecting a carbon footprint 47% lower when compared to conventional chicken.

·    26 March 2024 - Clean Food Group Ltd received a further £2.5 million in funding from Clean Growth Fund Management LLP

·    27 March 2024 - Onego Bio Ltd completed a Series A financing round, successfully raising €27 million and led by NordicNinja VC, a Japanese-Nordic VC backing companies in climate and deep tech. In addition, Onego Bio secured a further €9.5 million in non-dilutive funding from Business Finland, a government organisation offering grant funding for innovative Finnish companies that address significant global needs and challenges. Subject to audit, Agronomics' position in Onego Bio, including the Subscription, will be carried at £11.1 million (€12.9 million), including an unrealised gain of £3.8 million. 

 

The Board notes that VitroLabs Inc, currently held at £7.6 million, is now undertaking a substantial restructuring and fund raising. Whilst the outcome of this is uncertain at the moment, pursuant to AIM Rule 11, we consider that it is probable that the holding in VitroLabs Inc will require a significant write-down and we will inform shareholders in due course once this is quantified. Meanwhile, a number of the Company's other holdings have experienced positive gains post-period, and it is therefore unlikely that the overall NAV will decline materially.

 

 

Unaudited to 31 March 2024

£

Current Assets

 

 

 

Investments

153,061,704

 

Uninvested cash and deposits

19,685,863

 

Trade and other receivables

125,116

Current Liabilities

 

 

 

Trade and other creditors

(1,475,919)

Net Assets

 

171,396,764

Capital and Reserves

 

 

 

Share capital

1,009

 

Share premium

136,168,841

 

Retained earnings

35,226,914

Net assets

 

171,396,764

Shares in Issue

 

1,009,409,750

Net Asset Value per share

 

16.98 pence

 

The quoted investments within the portfolio are valued under IFRS at bid price.

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014, as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

For further information please contact:

Agronomics Limited

Beaumont Cornish Limited

Canaccord Genuity Limited

Cavendish Securities Plc

Peterhouse Capital Limited

SEC Newgate

The Company

Nomad

Joint Broker

Joint Broker

Joint Broker

Public Relations

Jim Mellon

Denham Eke

Roland Cornish

James Biddle

Andrew Potts

Harry Pardoe

Alex Aylen (Head of Equities)

Giles Balleny

Michael Johnson

Lucy Williams

Charles Goodfellow

Bob Huxford

Anthony Hughes

+44 (0) 1624 639396

info@agronomics.im

+44 (0) 207 628 3396

+44 (0) 207 523 8000

+44 (0) 207 397 8900

+44 (0) 207 469 0936

agronomics@secnewgate.co.uk

ENDS

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