In QuotedData’s morning briefing 30 August 2024:

• Artemis Alpha (ATS) has announced that it is today writing down its holding in Reaction Engines Limited by 75%. This is in addition to a write-down of 25% compared to the 30 April 2024 year-end valuation made on 19 July 2024. ATS says that, following these write downs, the position is now valued at £1.2m, compared to £6.4m as at 30 April 2024. It adds that, while Reaction Engines “has achieved significant progress in commercialising its innovative technology, recent revenue growth has been slower than anticipated” and the company is currently pursuing an internally led fundraise which is likely to be at a discount to the last valuation. Reaction Engines is a private technology company developing heat management solutions for aerospace and other industries.
• Schroders Capital Global Innovation (INOV) has made a similar announcement to Artemis Alpha as it too has written down of the value of its position in Reaction Engines. INOV says that “despite steps to commercialise its heat exchanger technology and recent contract awards, revenue growth at Reaction Engines has been slower than management anticipated, and the company will require further investment and time to become cash positive. Reaction Engines has appointed advisers to raise additional funds from new and existing investors.” INOV says that its holding in Reaction Engines will be revalued from £10.6m as at 31 December 2023 to £1.4m as at 30 June 2024. It adds that the impact on its overall net asset value (NAV) will be approximately 4.81% (based on the latest published NAV as at 31 March 2024).
• HOME REIT (HOME) has announced that, following a series of public auctions held on the 29 August, it has exchanged on the sale of a further 101 properties. Gross proceeds for the sales were £18.5m, representing 6.6% of the Company’s portfolio by value (based on JLL’s August 2023 draft valuation). The gross proceeds from the Sale Properties are 4.8% above the draft August 2023 values and the net proceeds will be used to reduce borrowings and provide working capital. HOME says that, since August 2023, it has completed on the sale of 987 properties and exchanged on a further 315 properties. The gross proceeds from properties sold and exchanged totals £181.2m, which in aggregate is in line with the August 2023 draft valuation. 

We also have:

• A reduction in Murray Income’s management fee
• Annual results from Chelverton UK Dividend
• A requsition request for PRS REIT