REG - Agronomics Limited - NAV calculation as of 30 September 2023

AgronomicsAnnouncement

03/11/2023 07:15

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RNS Number : 2567S  Agronomics Limited  03 November 2023

3 November 2023

Agronomics Limited

("Agronomics" or the "Company")

Net Asset Value calculation as of 30 September 2023

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 30 September 2023 was 16.48
pence per share, a 4% increase from 15.80 pence per share on 30 June 2023. Net
Assets were £164 million, including investments of £140 million and
uninvested cash and short-term deposits of £24 million.

The share price of 9.80 pence at the 30 September 2023 close represented a
discount of 40% to the 30 September 2023 NAV per share. The average discount
to the prevailing NAV per share over the last 12-month period was 39%. Under
IFRS, the Company's unquoted investments are generally carried at cost or the
most recent priced funding round.

Richard Reed, Chairperson 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. The UK-based
Clean Food Group also completed a £2.3 million funding round to commercialise
its fermentation-derived palm oil. In addition, Liberation Labs is also making
significant progress in its US$ 75 million fundraise 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 quarter ended 30 September 2023, the Company received notification
of warrants being exercised. A total of 1,836 new ordinary shares were issued
following the warrant exercise, for proceeds of £547.11. These funds,
together with existing cash resources, will be utilised to provide finance for
opportunities within the field of cellular agriculture, both by supporting
existing companies, as well as identifying new opportunities in which to
invest.

On 22 September 2023, the Company announced that it will execute a
discretionary on-market share Buyback Programme for an aggregate amount of
up to £3 million, with the Buyback Programme having a term of 6 months
commencing on 2 October 2023. The Company intends to cancel repurchased
shares, unless used to cover obligations under share-based remuneration
arrangements.

Investment review

On 9 August 2023, portfolio company Meatable completed a successful €30
million Series B financing round, with Agronomics investing €4 million.
Agronomics also received 200 warrants, exercisable at any time in the next
five years. The funding round was co-led with New Agrarian Company Limited.
Subject to audit, Agronomics' total investment in Meatable will be carried at
£11.8 million, including an unrealised gain of £3.9 million, which
represents a gross IRR of 22.31%.

On 14 August 2023, the Company invested £0.7 million in fermentation-derived
palm oil company Clean Food Group Limited ("CFG"), as part of their £2.3
million Pre-Series A funding round. Notable co-investors include industrial
food specialists Doehler Group and Alianza Team. Subject to audit, Agronomics
will carry this position in its accounts at a book value of £6.97 million,
including an unrealised gain on cost of £5.37 million, an IRR of 385%.
Capital raised from this pre-series round will enable CFG to accelerate the
scale-up of its technology platform, ahead of the planned completion of its
Series A funding next year to further develop its technology for production at
a commercial scale, with the funds supporting the construction of a new
manufacturing facility in the UK.

                                                          Unaudited to 30 September 2023

                                                          £
 Current Assets
                            Investments                   139,970,567
                            Uninvested cash and deposits  23,643,167
                            Trade and other receivables   257,475
 Current Liabilities
                            Trade and other creditors     (154,339)
 Net Assets                                               163,716,870
 Capital and Reserves
                            Share capital                 993
                            Share premium                 134,481,912
                            Retained earnings             29,233,965
 Net assets                                               163,716,870
 Shares in Issue                                          993,153,870
 Net Asset Value per share                                16.48 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           Beaumont              Canaccord Genuity Limited       Cavendish Securities Plc  Peterhouse Capital    SEC Newgate

 Limited              Cornish Limited                                                                 Limited
 The Company          Nomad                 Joint Broker                    Joint Broker              Joint Broker          Public Relations
 Richard Reed         Roland Cornish        Andrew Potts                    Giles Balleny             Lucy Williams         Bob Huxford

 Denham Eke           James Biddle          Harry Rees                      Michael Johnson           Charles Goodfellow    George Esmond

                                            Alex Aylen (Head of Equities)                                                   Anthony Hughes

                                                                                                                            Alice Cho

 +44 (0) 1624 639396  +44 (0) 207 628 3396  +44 (0) 207 523 8000            +44 (0) 207 397 8900      +44 (0) 207 469 0936  agronomics@secnewgate.co.uk

 info@agronomics.im

ENDS

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