The portfolio companies continue to develop well
The Group’s net income amounted to MSEK -5.3 (43.0) corresponding to -0.14 (1.16) per share. Equity, prior to the resolved distribution, as at December 31, 2010 amounted to MSEK 368.9 (374.1) corresponding to SEK 9.92 (10.06) per share. Cash and cash equivalents including holdings in listed companies amounted to MSEK 77.4 (76.5).
The weakened US dollar and Euro affected the 2010 result by MSEK -19 and the decline in the price of the WeSC share during the end of 2010 affected the result in the fourth quarter by MSEK -27.
The Extraordinary General Meeting, held December 22, 2010, resolved on a distribution of 371 879 shares in WeSC, corresponding to a value of MSEK 34. This distribution included, Novestra will have distributed a total of MSEK 331 to the shareholders during the last six years, corresponding to SEK 8.9 per share. A return of approximately 234 percent since 2002, or an annual return of 14.4.
The business situation for the portfolio companies is currently very strong and prospects for significantly improved growth and increased profitability during 2011 are very good. Currently, there is no need for additional funding in any of the portfolio companies
Diino, where Novestra owns 47 percent, received its largest order so far at the end of 2010 from one of Europe’s larger telecom operators. The order amounted to approximately MSEK 7 and shows the opportunities that exist in system sales, in addition to Diino’s fast growing direct sales to end users.
Strategic discussions regarding divestment or IPO’s are currently ongoing in three of the portfolio companies. The companies have engaged financial advisors for each respective process. The Board of Directors have made a decision in principle to distribute a part of, or the entire holding, of companies that will be listed to Novestra’s shareholders.
Qbranch decided to apply for an IPO on Nasdaq OMX Stockholm during 2011. A listing would result in an additional liquidity asset for Novestra and enable a potential distribution to Novestra’s shareholders.
Comments from the Managing Director
“2010 was in general a very good year for our portfolio companies where the ground was also laid for continued growth and improved results in 2011. Novestra’s result was affected by the strong SEK considering that approximately 50 percent of our assets are valued in either the US Dollar or Euro. 2011 has started very well for all of our portfolio companies and we have every reason to be optimistic for continued positive development. During this year we expect to be able to either divest or list a couple of our portfolio companies and these processes will visualize the true values in the portfolio companies.”
For further information please contact Johan Heijbel, Managing Director, AB Novestra, phone no. +46 8 545 017 50
About AB Novestra
Novestra is an independent investment company with a portfolio of investments in a number of privately held growth companies including Diino AB, Explorica, Inc., MyPublisher, Inc., Netsurvey AB, Qbranch AB and Strax Group GmbH. In addition, Novestra has an investment corresponding to approximately 6 percent of the shares in WeSC AB, listed on First North.
The Novestra shares are listed on the Nasdaq OMX Stockholm, under the symbol NOVE, in the Small Cap section. For further information regarding AB Novestra, reference is made to www.novestra.com
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