REG - Mercia Asset Mgt PLC - Mercia completes three syndicated funding rounds

Mercia Asset ManagementAnnouncement

14/03/2024 07:00

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RNS Number : 7524G  Mercia Asset Management PLC  14 March 2024

 RNS  14 March 2024

 

Mercia Asset Management PLC

 

("Mercia", the "Company" or the "Group")

 

Mercia completes syndicated funding rounds into three existing direct
investments

 

Mercia Asset Management PLC (AIM: MERC), the proactive, regionally focused
specialist asset manager with c.£1.5billion of assets under management, is
pleased to confirm it has recently completed syndicated funding rounds into
three of its existing direct investments.

 

The investments comprised:

·    £1.2million as part of an £7.1million syndicated funding round into
MIP Discovery Limited ("MIP"). MIP is an innovative developer of
non-biological affinity reagents designed to accelerate the development and
production of cell and gene therapies. The funding round will be used to drive
further commercialisation of this technology. Mercia's fully diluted direct
stake now becomes 11.5%.

 

·    £2.5million as part of an £8.4million syndicated funding round into
Locate Bio Limited, a leading orthobiologics company. The oversubscribed
funding round will help progress the company's ongoing clinical study of
LDGraft, which is being developed for use in patients who require surgery for
chronic lower back pain. Mercia's fully diluted direct stake now becomes
20.1%.

 

·    £2.0million as part of an £6.9million syndicated funding round into
Warwick Acoustics Limited, a leading designer of high-end audio systems. The
funding round will support the further scaling of its production capacity
following the securing of its first OEM commercial contract, as well as
ongoing R&D to build on its well established competitive position.
Mercia's fully diluted direct stake now becomes 36.5%.

 

Dr Mark Payton, CEO of Mercia Asset Management PLC, said: "We continue to be
encouraged by the overall development of our direct investment portfolio. A
number of the companies in our portfolio are maturing as they scale the
commercial applications of their underlying IP. Furthermore, the syndicated
nature of these funding rounds, where nearly 80% of the investment funding is
coming from outside of Mercia's balance sheet, reflects the confidence of the
wider venture community in these companies.

 

"Our significant liquidity means that we are able to continue selectively
supporting the existing portfolio's growth ambitions, with or without
additional syndicated co-investment."

 

- Ends -

 

For further information, please contact:

 

 Mercia Asset Management PLC                          +44 (0)330 223 1430

 Mark Payton, Chief Executive Officer

 Martin Glanfield, Chief Financial Officer

 www.mercia.co.uk (http://www.mercia.co.uk/)

 Canaccord Genuity Limited (NOMAD and Joint Broker)   +44 (0)20 7523 8000
 Simon Bridges, Emma Gabriel

 Singer Capital Markets (Joint Broker)                +44 (0)20 7496 3000
 Harry Gooden, James Moat

 FTI Consulting                                                 +44 (0)20 3727 1051
 Tom Blackwell, Jenny Boyd
 mercia@fticonsulting.com

 

About Mercia Asset Management PLC

Mercia is a proactive, specialist asset manager focused on supporting regional
SMEs to achieve their growth aspirations. Mercia provides capital across its
four asset classes of venture, private equity, debt and proprietary capital:
the Group's 'Complete Connected Capital'. The Group initially nurtures
businesses via its third-party funds under management, then over time Mercia
can provide further funding to the most promising companies, by deploying
direct investment follow-on capital from its own balance sheet.

 

The Group has a strong UK footprint through its regional offices, university
partnerships and extensive personal networks, providing it with access to
high-quality deal flow.

 

Mercia Asset Management PLC is quoted on AIM with the EPIC "MERC".

 

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