Dublin-listed Draper Esprit reports 10pc rise in its gross portfolio value
DUBLIN-listed venture capital firm Draper Esprit said its gross portfolio value rose 10pc in the six months to September 30 despite the challenges of Covid-19.
At September 30 its gross portfolio value was £702m (€781m), down slightly from £703m at the end of March.
The company had cash realisations of £106m during the period, predominantly generated by the sale of stakes in Peak Games and TransferWise, according to interim results.
Over the six-month period Draper Esprit invested £32m in two new companies, Cazoo and Ravelin, as well as investing into seven follow-ons.
The company’s net assets increased by 8pc to £715m.
Draper Esprit reported profit after tax of £54m for the period, down from £59m at the end of September 2019.
“Despite the challenges of
the pandemic, our investment process continues to deliver, with a portfolio value maintained at a record level even after over £100m (€111m) of realisations,” said Martin Davis, CEO at Draper Esprit.
“We have also made significant progress in building the model which allows us to scale our delivery, support our talented partners to identify and nurture even more of the best opportunities in European technology.”
During the period, the firm also increased and extended its revolving credit facility with SVB and Investec by one year to £60m.
Since the end of September, the company has raised an additional £110m gross capital through an oversubscribed placing to new and existing investors.
Looking forward, Mr Davis said the firm sees “significant opportunity to deploy further capital driven by a growing European venture capital market, and an accelerated transition to digital, driven in part by the Covid-19 pandemic”.
However, the company remains “mindful of market uncertainty and increased pressures on the global economy resulting from the ongoing pandemic”, he said.
Firm sees ‘significant opportunity to deploy further capital’