Editing Molten Ventures (section)

== Molten’s investment track record ==

'''Sector-leading 20% five-year NAV per share CAGR H117–H122'''

Looking at Molten’s track record in terms of gross portfolio return (the increase in GPV, together with net realisations; Exhibit 8 highlights a positive return in every period since IPO, with a return of 27.3% in H122 and a five-year CAGR H117–H122 of 66%. The growth in portfolio value has driven a 57% five-year NAV CAGR, again with a positive return in every 12-month period since IPO, leading to 48% NAV per share growth over the 12 months to H122 and a sector-leading five-year NAV per share CAGR of 20.3% over the period H117–H122.

Along with other London-listed venture capital funds (eg Augmentum Fintech and Forward Partners), as well as Seraphim Space Investment Trust, which has yet to establish a public market track record, we would identify HgCapital Trust (25% five-year NAV per share total return, 18% 10-year total return), IP Group (11% NAV per share CAGR since its 2003 launch) and Oakley Capital (19% five-year NAV per share CAGR) as Molten’s principal technology sector peers.

'''Exits have delivered an average money multiple of 3.4x'''

Molten Ventures has invested in its portfolio in every period since IPO, but only realised its initial investments in 2016 and has realised investments in every subsequent reporting period. The steady cadence of exits provides investors with comfort that the value of Molten’s late-stage businesses will be realised and reinvested in new opportunities to build future value. The group expects to realise 10–15% of portfolio value annually through the economic cycle.

In H122, £67.5m of cash realisations included proceeds from the exits from SportPursuit, Decibel, Conversocial and PremFina, as well as selling shares (post-IPO) in Trustpilot and UiPath. To H122, Molten Ventures has realised over £380m of value from its portfolio (with an additional £40m of realisations in H222) with the majority of exits delivering attractive multiples, with an average money multiple of c 3.4x amounts invested.