Frontier IP looks to the future with confidence


Key points:

  • Fair value of portfolio rose by 21 per cent to £23.4 million at 31 December 2020 (30 June 2020: £19.4 million)
  • Unrealised profit on the revaluation of investments rose by 33 per cent to £4.0 million (31 December 2019: £3.0 million)
  • Pre-tax profits rose by 45 per cent to £3.0 million (31 December 2019: £2.1 million)
  • Oversubscribed equity placing and PrimaryBid offer raised £2.2 million (net of expenses) in July 2020

Frontier IP made strong progress during the first half of the year despite the COVID-19 pandemic. Fundraising activity stepped up, reflecting the growing maturity of the portfolio with  several companies now approaching significant inflection points. Cambridge Raman Imaging, Elute Intelligence and Fieldwork Robotics raised equity funding during the period.

Post period end, Exscientia completed a $100 million Series C funding round with backing from global asset manager BlackRock. Pulsiv raised £880,000 from new and existing equity investors.

Industry collaborations are a central part of our business model and three were announced with our portfolio companies.

There has also been evidence of increasing traction in Portugal before and after the period end with a first investment into one of our Portuguese portfolio companies, involvement with a United Nationals Development Programme project and an industry collaboration announced.

Frontier IP strengthened its team during the period with the appointment of a Software Commercialisation Director and a Director of Corporate Relationships. Both have extensive experience.

The oversubscribed placing and PrimaryBid offer meant the Group was able to flex its business model to include increased bridge funding and support investment in portfolio companies.