Seraphim Space Investment Trust Plc Class C · LSE:SSIC
Seraphim Space Investment Trust Plc Class C — H1 FY2023 Earnings Presentation
15 slides from Seraphim Space Investment Trust Plc Class C's earnings presentation, February 2023
Slide 1: Seraphim Space Investment Trust plc Interim Report
seraphim space investment trust plc INTERIM REPORT – Six months ended 31 December 2022
Slide 2: Six months to 31 Dec 2022 headlines
six months to 31 dec 2022 headlines • Portfolio valuation decreased by £4.9m to £181m • Driven by unrealised fair value reduction £15.3m • Portfolio fair value now at 97% of cost • Private companies in top 10 companies +56% revenue growth h-o-h • 4 new investments and 6 follow-on transactions Will W
Slide 3: Seraphim playbook
seraphim playbook headlines Proprietary Unique Industry Investment Committee Deal flow Model Backing Top Entrepreneurs Investment Fund OPTIONS Accelerator Programme Information Thought Global VC Investor Value-add Investors Asymmetry Leaders Ecosystem on Investee Boards Mark Boggett James Chief Exec
Slide 4: Financial highlights as at 31 Dec 2022
financial highlights as at 31 dec 2022 Share NAV Market Net Portfolio NAV per price per capitalisation assets valuation share share £ 0.45 £ 0.93 £ 108m £ 222m £ 181m SSIT share price vs. various indices (£, total return rebased to 100) 170 SSIT NAV per share and share price vs. AIC peer group1 (£,
Slide 5: H1 attribution analysis
H1 attribution analysis 6 months to 31 dec 2022 Attribution analysis of movements in the value of investments (£m) 250 200 186.1 4.4 9.0 97% Portfolio fair value vs. cost -3.3 -2.0 2.3 181.2 -15.3 150 100 £181m Fair value of portfolio as at 31 Dec 2022 50 £13.4m 0 Aggregate cost of investments durin
Slide 6: Balance sheet as at 31 Dec 2022
balance sheet as at 31 dec 2022 NAV bridge (£m) 300 £17m 250 239.3 0.0 0.1 222.0 decrease in NAV -13.0 (7% decrease) -2.0 -1.5 -0.9 200 NAV NAV NAV NAV NAV NAV NAV per per per per per per per share share share share share share share 99.97p -5.42p -0.82p -0.64p -0.39p 0.04p 92.74p 150 £41m 100 liqui
Slide 7: H1 investments
H1 investments Investments made during the period Company Segment HQ Type Cost £m Voyager Beyond Earth US New investment 2.1 Taranis Analyse Israel New investment 2.1 PlanetWatchers Analyse UK Follow-on 2.5 D-Orbit Launch Italy Follow-on 4.4 2 early stage New investment 0.3 investments 4 small/ earl
Slide 8: H1 investment activity
HI INVESTMENT ACTIVITY wr W VOYAGER SPACE RB seraPuim
Slide 9: Portfolio as at 31 Dec 2022
portfolio net asset value as at 31 dec 2022 Summary by value Company FV £m NAV ICEYE 43.4 19.6% ALL.SPACE 22.3 10.1% HawkEye 360 20.7 9.3% D-Orbit 18.1 8.2% Build Seedcorn Altitude Angel 9.9 4.4% Launch Minicorn Platform LeoLabs 9.3 4.2% Soonicorn Downlink Satellite Vu 7.8 3.5% Unicorn Analyse Astro
Slide 10: Shares traded at a 51% discount to NAV
As at 31 Dec 2022, based on a £0.45 share price, shares traded at a 51% discount to NAV and an implied 63% discount to portfolio fair value ssit nav vs. market cap analysis (£m) as at 31 dec 2022 Market cap = 51% discount to NAV 200 250 181.2 222.0 180 200 160 Implied 63% discount to Fair 140 Value
Slide 11: Valuation recalibration
valuation recalibration • Given valuation volatility during 2022, the Board initiated a process to recalibrate across an increased number of datapoints for portfolio companies to determine whether to change the company’s enterprise value • Where last funding rounds took place more than 12 months ear
Slide 12: Spotlight on structure: downside protections
spotlight on structure downside protections The downside protections afforded by liquidation preference and anti-dilution mean that the fair value of holdings would not decline linearly with any reductions in the enterprise values of private portfolio companies. preference shares anti-dilution What
Slide 13: Worked example: liquidation preference protecting enterprise value reduction
worked example liquidation preference protecting enterprise value reduction A liquidation preference can protect the value of an investment even if the company’s valuation were to fall materially. 2 Pro rata share of proceeds worth 100% Liquidation preference activated as worth more than pro rata mo
Slide 14: Material holdings' enterprise value recalibrations
material holdings’ enterprise value recalibrations The enterprise values of the 9 private companies within the top 10 holdings, on average, reduced by 15% over the last six months. As a result of the downside protections (liquidation preferences) these reductions translate directly to a commensurate
Slide 15: 2022 review and outlook 2023
2022 review • Portfolio largely weathered the macro-economic headwinds well • SpaceTech benefitting from counter-cyclical trends in response to Ukraine and climate crises • Focus on runway extension at portfolio company level and cash preservation at fund level • Reduced capital deployment cadence w
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