Tekcapital creates exciting technology businesses with the potential to help the lives of a great number of people from scratch with the core aim of Tekcapital shareholder value creation.
As CEO Dr Clifford Gross explains, each one of their portfolio companies was founded by Tekcapital and taken from a concept on a piece of paper to businesses with substantial market opportunities.
Belluscura – a company founded by Tekcapital and later listed on AIM – has recently announced a potential $85m worth of orders and royalties.
Tekcapital is now set to list its next success story in London this month. MicroSalt is targeting a £10m-£15m AIM listing to secure growth capital to fund the expansion of their low sodium salt technology business.
MicroSalt has already secured distribution agreements with US supermarket giant Kroger and has said they are in talks with major players in the snack food industry.
Sodium overconsumption plays a part in millions of premature deaths per year and MicroSalt is tackling this head-on with a technology that reduces sodium in their table salt by 50%.
Tekcapital shareholder value
Tekcapital valued MicroSalt at $17m as a privately held company on its balance sheet as of the end of June 2023.
The transition from a privately held company to a listed entity represents a major milestone for both MicroSalt and Tekcapital and provides the opportunity for Tekcapital to crystallise shareholder value.
In addition, the market should give more weight to Tekcapital’s net asset value going forward as a large proportion will now be valued by the public market as opposed to private market methods. Tekcapital’s holding will be readily realisable and the risk premium associated with privately held companies should diminish.
We are yet to learn of the specific valuation attached to MicroSalt on IPO and investors will eagerly await the value of Tekcapital’s holding post-IPO.
With a market cap of just £20m, Tekcapital could quickly start to look very good value as soon as the particulars of the MicroSalt IPO are made public.
