GreenBank Capital Inc (CSE:GBC) has shared its first quarterly shareholder update for January to March 2023, including more details of a strategic review its board of directors is conducting to ensure its business model remains appropriate.
Commenting on recent updates from the investments and products within its portfolio, GreenBank CEO Terry Pullen said: “There has been activity within the business positions we hold and we are pleased with the direction and growth that is being achieved.”
Under the strategic review, GreenBank said its board will develop a comprehensive plan of action to reshape the direction of the business. The plan will have a revised focus on nurturing current — or soon-to-be — income-generating companies to develop them into profitable, cashflow-positive undertakings. By achieving this, it said the company will generate capital growth and income and become more comprehensively understood as a business, therefore easier to value and invest in.
GreenBank said the plan of action looks to assess all of the current opportunities it has access to and may lead to decisions to further consolidate the portfolio by exiting non-core investments, other than where there is viable return within the short-to-medium term. All former GreenBank and Staminier assets and investments will be included and reviewed in the plan of action.
Coinciding with the strategic review, the company said it has also decided to undertake a private placement to further accelerate the growth of two existing portfolio companies, as well as to provide much-needed working capital. While further details will follow, it said in the UK the placement will be open to existing shareholders and certain categories of sophisticated and/or high net-worth individuals.
The full shareholder letter can be accessed here.
Internal updates include:
- Strategic review (pending completion);
- Private placement;
- Filing of statutory accounts; and
- Sir Bob Neill joining the board.
External updates include:
- The Substantia Group;
- Shareholding: 48.5% through Staminier which owns 100% of Substantia Group
- Flex Capital;
- Shareholding: 212 ordinary shares (23.68%)
- Ubique Minerals;
- Shareholding: 14,311,039 (17.45%) common shares (listed on the CSE)
- Freeway;
- Holding: 323,524,466 FWT (held by Staminier of which GreenBank holds 48.5%)
- CodiKoat;
- Shareholding: 73,344 ordinary shares (5%)
- NARC;
- Shareholding: 11,448 ordinary shares (4.2%)
- Staminier;
- Shareholding: 24,250,010 ordinary shares (48.5%)
- Beelivery;
- Shareholding: 780 ordinary shares (5.62%)
- St Georges Eco-Mining;
- Shareholding: 1,540,400 (0.64%) common shares (listed on the CSE)
- TRU Precious Metals; and
- Shareholding: 790,082 (0.74%) common shares (listed on the TSX-V)
- Queensland Gold Hills (exit)
- Former shareholding: 408,889 common shares (listed on the TSX-V) (exited for C$155,537)
GreenBank Capital is a business transformation company, whose aim is to nurture growth companies to reach their full potential. The company's modern approach to consultancy services, involves GreenBank taking stakes in every company it nurtures, and then allowing founders and executives to benefit from the years of collective experience of the GreenBank management team. The team in London and Toronto work diligently across borders to ensure that portfolio businesses reach their core objectives.
Contact the author at stephen.gunnion@proactiveinvestors.com