Citi sets an ambitious tone for 2020 with $150 million Impact Investing fund
- Workforce Development – solutions that train and connect people to careers.
- Financial Capability – solutions that increase access to the financial system.
- Physical & Social Infrastructure – solutions that improve an individual’s way of life through housing, healthcare and transportation.
- Sustainability – solutions that address issues related to energy, water and sustainable production.
Magway surpasses Crowdcube funding target for their sustainable transportation technology
Impact Investing
Magway have set about creating a solution that involves vehicles running on predominantly underground tracks that transport goods from warehouses to distribution points closer to their end destination. With the adoption of ecommerce increasing at astronomical rates, Mayway’s technology will reduce congestion on the roads caused by delivering goods ordered online. This in turn will provide environmental benefits through the reduction of green house gas emissions. As their is a measurable positive impact from Magway’s business model in the form of the reduction of green house gas emissions, it can be classed as an impact investment which goes well beyond those investments that simply have ESG elements attached to them.Whilst drones have grabbed much of the headlines in recent years, underground/pipe delivery is now being recognised as a more realistic, deliverable and impactful option by many thought leaders.https://t.co/jkmnxDWxrL pic.twitter.com/u7z32kOccs
— Magway Limited (@Magway_Limited) January 13, 2020
Crowdcube crowdfunding round
Magway had an initial funding target of £750,000 in exchange for 4.7% of the company which would have given Magway a pre-money valuation of £22.5m. Their innovative technology and the positive impact Magway provided to the environment has previously won them funding from Innovate UK in the way of a grant. This grant funding along with prior seed funding amounts to £1m in funding already raised before the Crowdcube round was launched. Mayway have received EIS advanced assurance from HMRC meaning eligible investors can receive 30% income tax relief and will receive further benefits on disposal if the shares are held for three years. Magway’s round on Crowdcube is set to finish 31st January 2020.Why the Singapore model could teach Brexit Britain a thing or two
So, what can we learn?
Well, from the approach of negative principles (or put simply, what we shouldn’t do), we can ask ourselves about why we detest some of the components of the Singapore system. We should imagine what we’d miss most if such a system were imposed on us – free participation, healthcare which is free at the point of use, and decent wages and workers’ rights, among other things. From a positive approach, we should certainly aspire to adopt certain principles, if not practices. For me, the successes of their system draw primarily from their attitude towards education. Singapore celebrates its people as its primary commodity, and the fact that they’ve been raised with a first class education and strong work ethic makes them an extremely skilled and productive workforce. What I wouldn’t want the UK to emulate is Singapore’s dismissal of creative and critical thought faculties, which is likely done to optimise vocational skills. What I do agree with is an educational ethos which doesn’t just equip citizens with basic necessary skills, but prepares them to be an active and meaningful part of national productivity. The fact that Singapore has an economy made up 22.0% of manufacturing, 17.6% wholesale and retail, 14.9% business services, 13% financial services (etc) is also worth observing. To many, the very activity of measuring the UK alongside Singapore is contrived, with Singapore being more comparable to London than an entire country. However, we should take on board two things if nothing more. First, the intuitive point that it isn’t prudent to have an economy so overly biased towards particular sectors. Second, the productive capacity of a country, and perhaps the quality of life of its citizens, is only maximized if we have an economy which attempts to utilise the productive potential of as many people as possible. Granted, the UK faces the challenge of trying to revive once-lively hubs of productivity, as well as regions which are far away from urban metropolises. What we should remember, though, is that even if some traditional industries have died (or more accurately, been outsourced overseas), we still have concentrations of potential workers who haven’t been given the chance to fulfil their potential. It isn’t my intention to completely disregard existing efforts to inspire business in places such as the ‘Northern Powerhouse’, but the London bias is still plain to see. This isn’t to say the bias involves continuous and ongoing policies in favour of London’s primacy, but rather not enough is being done to reverse the structures that made it the only global hub in the UK. Two way we could look to kill two birds with one stone in the UK are via:- Implementing a framework of first-mover incentives. This may involve lower taxes, infrastructural spending or some form of subsidy. The bottom line is that any business has strength (and a country creates a specialisation) in numbers and in density. If we want to inspire other sectors to set up base in the UK, and specifically not in London, we have to make it as easy as possible for them to do so.
- We should consider a return to manufacturing. I’d ask readers to resist the temptation to eye-roll and consider for a moment, the possibility of the UK being at the forefront of both developing and using automated hardware and software. It is self-evident to anyone in touch with the times, that a major power play that is occurring (and will continue to occur) is the race to develop and patent automated and AI systems. If we cater our education system to help the generation understand and design the machines of the future, we could aspire to be a hub of automated manufactured goods and technology patents.
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Additionally, the company announced it had spent £320 million on reversions since 2014, alongside £516 million on buying back or cancelling 53% of its own shares since 2003.
Wetherspoons court case
Commenting on a high court case involving the pub chain, Chairman Tim Martin stated,“In an important high court case involving Wetherspoon, the judge said that he would assume written statements by witnesses were true, unless contradicted by barristers in cross-examination.”
“This sensible principle of justice is also implicit in the ‘comply or explain’ provisions of corporate governance guidelines (the ‘code’).”
“Comply or explain must mean that the code envisaged flexibility and did not advocate a ‘one-type-suits-all’ approach.”
“If shareholders say nothing in response to company explanations, which have been made in order to comply with the code, it is reasonable to assume their assent.”
“However, in reality, detailed explanations are ignored by many fund managers and their corporate governance advisers – comply or explain has been corrupted to mean ‘comply or be humiliated in public and voted off the board’ – a risk which most NEDs are understandably reluctant to take.”
“A likely reason for ignoring explanations, in defiance of the code, is that it’s simpler and cheaper to apply arbitrary standards such as the ‘nine-year rule’- rather than engaging with companies and considering their explanations.”
Brexit chat over a pint, anyone?
In his usual fashion, the Wetherspoon Chairman also had to say his piece on Brexit:“It is disappointing to note that pro-remain organisations like the CBI and the Food and Drink Federation are, even at this late stage, doubling down on ‘project fear’ stories.”
“A dramatic headline on the BBC’s main news website (“Brexit: Price rises warning after chancellor vows EU rules divergence”, 18 January) predicted dire consequences in the event of ‘divergence’ from the EU.”
“The article contained a jobs warning from the CBI, which previously promoted the disastrous exchange rate mechanism and the euro, and a food prices warning from the Food and Drink Federation (FDF).”
“The CBI’s warnings about job losses and recession in the event of a leave vote in 2016 have proved to be mythical – over a million jobs have been created.”
“The FDF’s warnings about food price rises are absurd- the EU is a highly protectionist organisation which imposes tariffs and quotas on about 13,000 non-EU imports including many food and drink products such as bananas, rice, oranges, coffee and wine.”
“Elimination of tariffs will obviously reduce prices.”
“It is high time these organisations took a wise-up pill and supported the democratic decisions of the UK.”

