i(x) Net Zero PLC reported an increase in the value of its investments for the first half of the year and said the US government’s recent landmark legislation will be of direct benefit to its portfolio companies.
The unaudited fair value of investments in the AIM’s listed company’s portfolio companies was US$65.9mln as at 30 June 2022, up 8.6% since the end of December.
This fed through to a net asset value (NAV) of US$0.98 per share (80p per share) up from US$0.80 per share (59p per share).
NAV included net cash of US$11.2mln, up from £9.3mln in December, following a US$14.5mln fundraising in February.
In the first half of the year i(x) made invested US$0.5mln in the portfolio, which was part of an agreed US$1.56mln investment in Enphys, a partnership focused on Latin American renewables and energy transition projects, where monthly investments of US$0.1mln started in July.
Chief executive Steve Oyer, hailed the passing of the Inflation Reduction Act of 2022 in the US, which among other things allocates around US$369bn to reduce greenhouse gas emissions and incentivises the expanded production and use of clean energy, a a "milestone in the attempt to successfully tackle climate change".
"Companies that are involved in sustainability and the green energy transition need governmental support in the form of legislation in order to achieve their stated objectives. To that end, the passing of the Inflation Reduction Act of 2022 in the US is a crucial milestone in the attempt to successfully tackle climate change."
He added: “The Act will accelerate the deployment of clean energy and electric vehicles, carbon capture in industrial sectors, spur efficiency improvements in the built environment, and reduce methane emissions.
“This legislation will be of direct benefit to i(x)'s portfolio companies by helping them accelerate their stated objectives and supporting future growth, driving $3.5trn or more in cumulative capital investment into new energy supply infrastructure over the next decade.
“We see this as the beginning of a trend with like-minded governments around the world enacting similar legislation to establish a unified global approach to accomplishing scalable positive change."