REG - Agronomics Limited - Net Asset Value calculation as at 31 March 2024

AgronomicsAnnouncement

07/05/2024 07:15

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RNS Number : 3337N  Agronomics Limited  07 May 2024

7 May 2024

Agronomics Limited

("Agronomics" or the "Company")

Net Asset Value calculation as at 31 March 2024

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 31 March 2024 was 16.98 pence
per share, a 0.5% increase from 16.90 pence per share at 31 December 2023. Net
Assets were £171 million, including investments of £153 million and
uninvested cash and short-term deposits of £19 million.

The share price of 8.80 pence at the 31 March 2024 close represented a
discount of 48% to the 31 March 2024 NAV per share. The average discount to
the prevailing NAV per share over the last 12-month period was 38%. Under
IFRS, the Company's unquoted investments are generally carried at cost or the
most recent priced funding round.

Jim Mellon, Chair 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. UK-based
Clean Food Group also completed a £2.5 million funding round to commercialise
its fermentation-derived palm oil. In addition, Liberation Labs is also making
significant progress in securing the further US$ 55 million fundraise as
announced on 5 April 2024 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 period, 1,659 new ordinary shares were issued following the
exercise of warrants. Gross proceeds of £498 were received by the Company.

During the period, no fees were payable or accrued relating to the Shellbay
Investments Limited Agreement.

Investment review

During the 3-month period, the Company had two positive revaluations and saw
the portfolio companies receive government support and form new strategic
partnerships:

·    6 February 2024 - Bond Pet Foods, the US-based company that produces
animal proteins through precision fermentation, delivered two metric tons of
animal protein to one of the most popular pet food providers in the US, Hill's
Pet Nutrition Inc - a division of the Colgate-Palmolive Company.

·    14 February 2024 - California Cultured Inc. reached a partnership
agreement with the Japanese company Meiji Co., Ltd, Japan's largest chocolate
manufacturer, involving a 10-year-long arrangement for the supply and
integration of California Cultured's cell-cultured flavanol cocoa powder into
an array of products tailored for both the US and Japanese markets.

·    13 March 2024 - Shiok Meats Pte. Ltd. was acquired by UMAMI Bioworks
Pte. Ltd. in a share-for-share transaction, and subject to audit, this
position will be carried forward at a book value of £0.378 million.

·    18 March 2024 - Good Dog Food Ltd created the world's first cans of
pet food that use cultivated chicken as a protein source.

·    20 March 2024 - Formo Bio GmbH partnered with Those Vegan Cowboys
(https://thosevegancowboys.com/) , a Belgium-based company focusing on
precision fermentation-derived caseins.

·    21 March 2024 - SuperMeat The Essence of Meat Ltd announced the
conclusions from a Life Cycle Assessment, projecting a carbon footprint 47%
lower when compared to conventional chicken.

·    26 March 2024 - Clean Food Group Ltd received a further £2.5 million
in funding from Clean Growth Fund Management LLP
(https://www.cleangrowthfund.com/) .

·    27 March 2024 - Onego Bio Ltd completed a Series A financing round,
successfully raising €27 million and led by NordicNinja VC
(https://nordicninja.com/) , a Japanese-Nordic VC backing companies in climate
and deep tech. In addition, Onego Bio secured a further €9.5 million in
non-dilutive funding from Business Finland
(https://www.businessfinland.fi/en/for-finnish-customers/services/startup-companies/startup-companies)
, a government organisation offering grant funding for innovative Finnish
companies that address significant global needs and challenges. Subject to
audit, Agronomics' position in Onego Bio, including the Subscription, will be
carried at £11.1 million (€12.9 million), including an unrealised gain of
£3.8 million.

 

The Board notes that VitroLabs Inc, currently held at £7.6 million, is now
undertaking a substantial restructuring and fund raising. Whilst the outcome
of this is uncertain at the moment, pursuant to AIM Rule 11, we consider that
it is probable that the holding in VitroLabs Inc will require a significant
write-down and we will inform shareholders in due course once this is
quantified. Meanwhile, a number of the Company's other holdings have
experienced positive gains post-period, and it is therefore unlikely that the
overall NAV will decline materially.

                                                          Unaudited to 31 March 2024

                                                          £
 Current Assets
                            Investments                   153,061,704
                            Uninvested cash and deposits  19,685,863
                            Trade and other receivables   125,116
 Current Liabilities
                            Trade and other creditors     (1,475,919)
 Net Assets                                               171,396,764
 Capital and Reserves
                            Share capital                 1,009
                            Share premium                 136,168,841
                            Retained earnings             35,226,914
 Net assets                                               171,396,764
 Shares in Issue                                          1,009,409,750
 Net Asset Value per share                                16.98 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 Limited   Beaumont Cornish Limited  Canaccord Genuity Limited        Cavendish Securities Plc  Peterhouse Capital Limited  SEC Newgate
 The Company          Nomad                     Joint Broker                     Joint Broker              Joint Broker                Public Relations
 Jim Mellon           Roland Cornish            Andrew Potts                     Giles Balleny             Lucy Williams               Bob Huxford

 Denham Eke           James Biddle              Harry Pardoe                     Michael Johnson           Charles Goodfellow          Anthony Hughes

                                                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        agronomics@secnewgate.co.uk

 info@agronomics.im

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