REG - Onward Opportunities - Half-Year Update

Onward OpportunitiesAnnouncement

24/07/2025 07:00

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RNS Number : 3051S  Onward Opportunities Limited  24 July 2025

24 July 2025

 

Onward Opportunities Limited

("Onward Opportunities" or the "Company")

 

Half-Year Update

 

Onward Opportunities Limited (AIM: ONWD), the investment company that invests
in UK smaller companies, provides an update in respect of the six-month period
ended 30 June 2025 ("HY25"), ahead of publication of the Company's unaudited
HY25 interim results in September 2025.

 

Company Update

 ·      30 June 2025 net asset value ("NAV") per share of 128.41 pence,
 equating to a total return of +10.39% over the 12-month period from 30 June
 2024 (NAV: 116.32p), maintaining the encouraging record of NAV outperformance
 since launch and during a period of significant market volatility

 ·      27-month NAV per share return in the period since inception to 30
 June 2025 of +28.41%:

 o  Outperformed the UK AIM All Share index Total Return by +31.6% (UK AIM All
 Share: -3%)

 o  Top decile performance amongst peers in the sector over 2-years with the
 Portfolio Manager ranked second out of all peers on Citywire Ratings Table for
 UK Smaller Companies IT

 o  Delivered the Company's stated target returns of >15% IRR during the
 period

 ·      Successfully completed two capital raises year to date, raising
 additional proceeds of in excess of £4.1m from new and existing investors,
 increasing the Company's capital base by more than 10% and providing it with
 additional resources with which to apply towards identified attractive
 investment opportunities

 ·      Cash balances peaked at c.22% in the latter part of the first
 quarter, with the majority profitably invested during April

 ·      The Portfolio Manager was nominated for Fund Manager of the Year
 at both the City AM Awards 2025 and the PLC Awards, in recognition of the
 Company's strong early performance

 Portfolio Update

 ·      Proceeds from the takeover of Windward received, generating cash
 profits of £2.4m, an IRR of 141.1% and a 2.5x multiple on invested capital

 ·      Significant progress at a number of holdings in spite of global
 macroeconomic headwinds; Angling Direct (record trading), Likewise (record
 trading), Venture Life Group (material disposal), The Mission Group (material
 disposal), Frenkel Topping (indicative takeover offer), Audioboom Group
 (record trading), Synectics (upgrades and contract wins), Alumasc
 (international expansion). Performance detractors at MPAC Group (US division
 slowdown since liberation day), Northcoders (government contract lost), REACT
 Group (profits warning)

 ·      The depth of the investment pipeline is the healthiest it has
 been in 12-months, with a number of new core and nursery investments expected
 in the third quarter, with recent capital raises providing the necessary
 resources. Recent new nursery holdings include Boku, Light Science
 Technologies and Venture Life Group

 

Laurence Hulse, Lead Fund Manager, said:

 

"Onward has navigated its first market crisis since launch in 2023. Cash
balances had been patiently built up by the Manager at the start of the year
and a disciplined approach held liquid reserves back during the first few
months of volatility. These were then deployed profitably during April,
setting the portfolio up for recovery and growth in the second half of the
year. The team is focussed on capturing the near-term pipeline in order to
extend our emerging track record of material outperformance."

 

For further information, please contact:

 

 Onward Opportunities Limited                                            Tel: +44 (0) 203 5303 150

 Andrew Henton, Chairman                                                 ool@maitlandgroup.com

 Dowgate Wealth Limited (Portfolio Manager)                              Tel: +44 (0) 203 5303 150

 Laurence Hulse, Lead Fund Manager                                       ool@maitlandgroup.com

 Cavendish Capital Markets Limited (Nominated Adviser and Joint Broker)  Tel: +44 (0)20 7220 0500

 Ben Jeynes / Hamish Waller - Corporate Finance

 Chris West / Matt Lewis - Sales and ECM

 Dowgate Capital Limited (Joint Broker)                                  Tel: +44 (0)12 9351 7744

 Nicholas Chambers / Daniel Ingram

 

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