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Molten Ventures PLC on Wednesday said it adapted to an environment of higher interest rates as it remained optimistic for a shift towards a more-favourable investment climate. The London-based venture capital firm reported that net asset value per share declined 15% to 662 pence per share as at March 31 from 780p a year prior. Despite this, pretax loss narrowed to £49.8 million in the year ended March 31 from £246.7 million a year earlier. Molten posted an unrealised loss on the revaluation of investments of £29.0 million, sharply narrowed from £240.1 million a year prior. Chief Executive Officer Martin Davis highlighted that the company navigated ‘higher-for-longer interest rates, inflationary pressures and the ongoing geopolitical tensions which have cast a cautionary shadow over some notable signs of stabilisation in the second half of the year.’ He added: ‘This has been a productive year for Molten. We’ve continued to enhance our innovative platform to capture the exceptional investment opportunities available in backing high growth, disruptive, UK and European technology firms. The underlying performance of our portfolio companies remain strong, with valuations continuing to stabilise as the macroeconomic environment shows signs of improvement.’ Looking ahead, Davis said: ‘We remain cautiously optimistic on the stabilisation of interest rates, and the early signs of renewed capital raising activity indicating a potential shift towards a more favourable investment climate. The strength of our business model stands us in good stead.’ Molten Ventures shares were up 14% to 385.65 pence each on Wednesday morning in London. Copyright 2024 Alliance News Ltd. All Rights Reserved.
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