LONG if support line holds – bullish divergence – undervalued
Mcap: 7.7mil (undervalued)
Final Results for the year-ended 30 November 2017:
Total revenue of US$7,263,048 reflecting an unrealised profit on the revaluation of portfolio companies of US$6,083,225
Net increase in fair value of portfolio companies due to appreciation in shares of Lucyd Ltd (US$5,833,392) and Belluscura plc (US$249,832)
Cash balance of US$1,797,729 (2016:US$1,839,603) with liabilities of US$238,149 (2016: US$484,825) and no debt
Net assets at year end: US$10,675,961 (2016: US$3,137,074)
— Salarius ltd, which holds the patent for micro-salt (uSalt( TM )), manufactured its first patented micro-salt samples and had them independently tested for both flavour and sodium content with a leading brand of potato chips (crisps). Results indicated that Salarius salted crisps have all the flavour and roughly half of the sodium of traditional crisps. We view this as a significant breakthrough for producing healthier snacks. According to Grand View Research, the global healthy snack market is expected to reach US$32.8b by 2025. Salarius is both continuing to seek an out license for its patented product while exploring the potential launch of a healthier snack food brand
— Established Guident ltd, a new portfolio company that acquired and seeks to commercialise a patented technology that enables the development of software apps for controlling autonomous vehicles. According to Research and Markets, the global autonomous vehicles market revenue is expected to reach US$126.8b by 2027
— Established eSoma ltd, a new portfolio company that acquired and seeks to commercialise a patent pending software called Trace-it ( TM ) for improving the accuracy of gesture recognition on any device. The global gesture recognition market is expected to exceed US$12.7b by 2020 according to Industry Analysts Inc.
— Smart Food Tek Limited is continuing to seek a licensee for its Crackle-baked(R) technology.
Post-period end highlights
— Lucyd pte ltd announced it has received approximately US$6.1m in contributions from its blockchain token generation event (TGE). Lucyd pte ltd is a subsidiary of Lucyd ltd, a Group portfolio company, of which it owns 100%. Proceeds of the TGE will be used to develop ergonomic smartglasses and for operational expenses.
— Belluscura plc concluded a private placement of approximately US$1.33m and converted loans equal to approximately US$268k to equity under the same terms as the private placement.