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The Markets
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The Markets
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Proactive UK has moved.
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Media

Sure Ventures realises first gain on an investment

The company is a venture capital fund which invests in early-stage companies in the virtual reality, augmented reality, Internet of Things and artificial intelligence sectors

Venture capital fund investing in early-stage companies

Targets the AR, VR, IoT and AI sectors

Shares trade at a premium to NAV

What it is

Sure Ventures PLC (LON:SURE) is a venture capital fund which invests in early-stage companies operating in the fields of augmented reality (AR), virtual reality (VR), the Internet of Things (IoT) and artificial intelligence (AI) in financial technology.

Most of the company’s investments are held through the Sure Valley Ventures Fund into which it has committed €7mln, equivalent to a 25.9% stake.

What it owns

Sure Ventures’ portfolio, including stakes held through Sure Valley, includes;

  • VR Education Holdings PLC (LON:VRE) – A VR software and immersive experiences developer which develops the ENGAGE learning platform as well as several immersive VR learning experiences in Apollo 11 VR
  • WarDucks – A developer of VR and AR video games. WarDucks has already released six bestselling titles across multiple platforms including Sony’s PlayStation VR
  • Wia – IoT cloud platform designed to link sensors and other devices together
  • ProVision – Develops products that allow commercial fleet managers to improve safety and compliance
  • NDRC Arc Labs – NDRC is an accelerator designed to source and develop 30 start-up firms over two years in the AR, VR, IoT and AI field
  • Nova Leah – A cybersecurity firm that protects connected medical devices and helps manufacturers address issues with their devices
  • Admix – Creator of a supply-side platform which allows developers to monetise their content by creating, managing and selling advertising inventory
  • VividQ – Develops 3D holography for next-generation VR and AR headsets and smart glasses
  • Ambisense – Operates Ambilytics, a platform which optimises environmental risk assessments on infrastructure projects in the industrial, oil & gas and waste management sectors
  • Immotion Group PLC (LON:IMMO) – Creates its own VR content and immersive experiences using simulation pods.

Net asset value at the end of September was 83p, roughly the same as March and helped by a rise in Immotion’s share price to 6.7p from 5.1p at the last year-end, which offset the cost of running the fund.

In December, the group booked a profit of €1.6mln following the sale of 3D content automation business Artomatix, which was 85% owned by associate Suir Valley Ventures.

What the boss says: Gareth Burchell, director, said in December

"Artomatix is our first realised gain; to achieve a 5 times cash on cash return over 14 months is very pleasing.

"Given our market capitalisation of circa £5mln, this is a significant return and we would like to thank the Artomatix team for their effort, ambition and commitment.

"Our portfolio is reaching an exciting stage in its life cycle and we look forward to 2020 on what it may bring."

CIO Interview – Barry Downes

Inflexion points

  • Additional realisations in 2020
  • Augmented and virtual reality to reach critical mass
  • Shares trade at healthy premium to NAV
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