The IP Group, which supports Yorkshire-based university spin-outs, cheered investors yesterday by delivering a strong set of half-year results.
IP Group has backed a number of successful university spin-outs, including Leeds-based Tracsis, which designs and licenses planning software to the transport sector.
Alan Aubrey, the IP Group’s chief executive, said the company was well placed to deliver long-term value for shareholders.
In the six months ended June 30 2012, the company’s adjusted profit before tax was £31.2m, excluding a £2.5m reduction in fair value of Oxford Equity Rights asset. This figure compares with a loss of £1.1m in the same period last year.
The value of its 10 largest holdings was £132.2m, compared with £84.4m in the same period in 2011.
In a statement to accompany the results, Mr Aubrey said yesterday: “The first half of 2012 has seen a number of positive developments across the group’s portfolio which has increased in value to £171.5m.
“The group has continued to increase the rate of deployment of the funds raised through its 2011 placing and our balance sheet remains strong with cash resources of £43.2m.”
Mr Aubrey highlighted the fact that intellectual property and its commercialisation remained an important factor in economic development.
The company’s portfolio has holdings in more than 60 companies including Oxford Nanopore Technologies, the DNA sequencing development company and Revolymer, which is best known for its removable chewing gum.
Mr Aubrey said yesterday: “Many of our portfolio companies have announced significant further financings this year, including Oxford Nanopore and the admission to AIM of Retroscreen Virology and Revolymer.”
The portfolio includes early stage and mature businesses. Fourteen of the portfolio companies IP Group has backed have listed on the AIM (Alternative Investment Market) of the London Stock Exchange and one has made its debut on PLUS Markets.
Founded in 2001, IP Group listed on AIM in October 2003 and moved to the official list in June 2006.
The group has established long-term partnerships with 12 British universities.