REG - Agronomics Limited - Net Asset Value calculation to 30 September 2022

AgronomicsAnnouncement

19/10/2022 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20221019:nRSS3230Da&default-theme=true

RNS Number : 3230D  Agronomics Limited  19 October 2022

19 October 2022

Agronomics Limited

("Agronomics" or the "Company")

Net Asset Value calculation to 30 September 2022

Agronomics Limited (AIM:ANIC), the leading listed company focused on the field
of cellular agriculture, announces that its unaudited Net Asset Valuation
("NAV") calculation as at closing on 30 September 2022 was 16.51 pence per
share, up 8.1% from 15.27 pence per share on 30 June. Net Assets stand at
£160.2 million, including investments of £122.9 million. Uninvested cash was
£39.4 million

The share price of 12.5 pence at the 30 September 2022 close represents a
discount of 24% to the NAV per share. The average premium to NAV per share
over the last 12-month period was 36%. Under IFRS, the Company's unquoted
investments are carried at cost or the most recent priced funding round.

Richard Reed, Chairman of Agronomics, commented: -

"Agronomics has continued its investment activity in cellular agriculture this
quarter, despite broader market conditions, and now has a comprehensive
portfolio of 24 companies across cultivated meat, materials and precision
fermentation technologies.

This quarter, Agronomics led two funding rounds in precision fermentation,
expanding the portfolio to include cultivated palm oil in Clean Food Group,
and we made our first investment in Australia in All G Foods, a leading dairy
precision fermentation company. We are increasingly seeking larger equity
ownerships and board representation in funding rounds, to maintain our
dominant role in the field.

Notably, venture funding in Q3 2022 has reached a nine-quarter low,
representing a 34% decline quarter on quarter. Whilst market conditions
continue to be volatile and the pace of deal activity is declining, we
continue to identify cellular agriculture as a sector with huge promise and
future growth prospects.

Financing

During the quarter ended 30 September 2022, the Company received notification
of warrants being exercised. A total of 32,008 new ordinary shares were issued
following the warrant exercise, for proceeds of £9,546.90. These funds,
together with existing cash resources, will be utilised to provide backing for
opportunities within the field of cellular agriculture, both by supporting
existing companies, as well as identifying new opportunities in which to
invest.

Investment review

On 1 August 2022
(https://polaris.brighterir.com/public/agronomics/news/rns/story/w6zn0gr) ,
the Company announced it led the seed financing round of Clean Food Group
Limited ("Clean Food Group (https://cleanfood.group/) "), with an investment
of £577,500 for 5,775,000 ordinary shares following an earlier small
investment in the company. Following this, the carrying amount of the existing
investment will be carried at £3.23 million, representing an unrealised
uplift of £2.91m (subject to audit). Following close of the Seed round,
Agronomics owns an equity stake of 35.03%, with an aggregate value of £3.8
million.

On 4 August 2022
(https://polaris.brighterir.com/public/agronomics/news/rns/story/x4n3ppr) ,
Agronomics led the Series A financing for All G Food Holding Pty Ltd ("All G
Foods (https://allgfoods.com/) ") with an investment of AU$ 15 million,
subscribing for 2,803,214 Series A Preferred Shares. Agronomics will own 8.01%
of All G Foods on a fully diluted basis following close of the round.

On 8 September 2022
(https://polaris.brighterir.com/public/agronomics/news/rns/story/w31zd3x) ,
Agronomics announced that existing portfolio company Bond Pet Foods Inc ("Bond
Pets (https://www.bondpets.com/) "), completed its Series A Financing Round,
raising US$ 17.5 million. Agronomics invested in Bond Pet
Foods in September 2019, with a US$ 150k investment in the form of a
convertible promissory note ("CPN"). The CPN has now converted
into 531,692 Series A Preferred Shares, representing an equity ownership of
1.85%. Subject to audit, Agronomics will now carry this position at a book
value of US$ 933k, representing an unrealised gain on cost of US$ 783k. This
provides a multiple on invested capital (MOIC) of 6.22 and an internal rate
of return (IRR) of 84% on the initial investment.

 

                                                         Unaudited to

                                                         30 September 2022

                                                         £
 Current Assets
                            Investments                  122,925,485
                            Uninvested cash              39,406,533
                            Trade and other receivables  146,702
 Current Liabilities
                            Trade and other creditors    (2,274,374)
 Net Assets                                              160,204,346
 Capital and Reserves
                            Share capital                969
                            Share premium                129,865,214
                            Retained earnings            30,338,163
 Net assets                                              160,204,346

 Shares in Issue                                         970,371,316
 Net Asset Value per share                               16.51 pence

 

The quoted investments within the portfolio are valued under IFRS at bid
price.

 

Portfolio Details

 Investments as at 30 September 2022  Value (£)    % of Total Portfolio
 Cellular agriculture holdings        122,569,356  99.71%
 Legacy holdings                      356,129      0.29%
 Total                                122,925,485  100%

 

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        Cenkos                Peterhouse Capital    TB Cardew

 Limited                                          Cornish Limited                                        Securities Plc        Limited
 The Company                                      Nomad                 Joint Broker                     Joint Broker          Joint Broker          Public Relations
 Richard Reed                                     Roland Cornish        Andrew Potts                     Giles Balleny         Lucy Williams         Ed Orlebar

 Denham Eke                                       James Biddle          Harry Rees                       Michael Johnson       Charles Goodfellow    Alistair Walker

                                                                        Alex Aylen (Head of Equities)
 +44 (0) 1624 639396                              +44 (0) 207 628 3396  +44 (0) 207 523 8000             +44 (0) 207 397 8900  +44 (0) 207 469 0936  +44 (0) 20 7930 0777

 info@agronomics.im (mailto:info@agronomics.im)                                                                                                      +44 (0) 7738 724 630

                                                                                                                                                     agronomics@tbcardew.com (mailto:agronomics@tbcardew.com)

 

 

 

 

ENDS

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  NAVKZMMGVRVGZZM