TORONTO, ON / ACCESSWIRE / September 18, 2020 / Investment and advisory firm First Growth Funds Limited (CSE:FGFL) is pleased to announce following its recent listing on the Canadian Securities Exchange it has reported a strong profit result in year end June 30, FY20.
With net income of $2,293,838 the investment and advisory firm booked $1,164,339 in adjusted net profit after tax, with $230,000 one off adjustments. During the period it had $2,093,870 increase in cash to $4,349,767 plus $4,793,190 of investments (on a cost basis). First Growth Funds has a strong balance sheet of over $9M in cash and assets (on a cost basis) with no debt. It expects the growth momentum to continue with a number of its investments to mature over the next 12 months.
First Growth Funds has access to investment opportunities that are not readily available to the broader investment community. Its shareholders gain exposure to a diversified asset portfolio of listed and unlisted equities with high growth potential. It takes advantage of special situation opportunities to make big returns on investments. It also runs an operating advisory business to negotiate a strong position with favourable valuation & terms and also assists with further capital raising, M&A and exit strategies for its portfolio companies.
First Growth Funds investment portfolio and presentation can be viewed here.
Some notable exits include a 26% return on the sale of European firm Kleos Space that develops innovative shoe-size satellites, a 37% return on the sale of Australian based Medadvisor with a pharmacy dispensing systems, a 77% sale of Canadian based Champion Iron with significant iron resources in the south end of the Labrador Trough in the province of Quebec. First Growth Funds also sold out of ecommerce company Harris Technology for $1.42M cash profit.
First Growth Funds has a well balance portfolio of asset classes. It has a diversified strategy to mitigate against risk in asset classes and market cycles. Its current portfolio include technology, IOT, fintech, mining and confectionery and expects a number of them to mature and exit with a cash profit in the next 12 months.
First Growth Funds has made a good start to the next financial year with most recent investment in August 2020 in public listed gold explorer Golden Deeps. In September 2020 the Company exited the investment with a 35% cash profit. It still holds Golden Deeps listed options that add a further 65% profit if sold.
About First Growth Funds Limited
First Growth Funds Limited invests across a broad range of asset classes including listed equities, private equity, blockchain and digital assets. The company also operates an advisory business providing corporate advisory, capital raising and capital markets support to its portfolio.
FORWARD-LOOKING INFORMATION
This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward-looking statements or information. The forward-looking statements and information are based on certain key expectations and assumptions made by management of the Company. Forward-looking statements and information are provided for the purpose of providing information about the current expectations and plans of management of the Company relating to the future. Readers are cautioned that reliance on such statements and information may not be appropriate for other purposes, such as making investment decisions. Since forward-looking statements and information address future events and conditions, by their very nature they involve risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. Accordingly, readers should not place undue reliance on the forward-looking statements, timelines and information contained in this news release. Readers are cautioned that the foregoing list of factors is not exhaustive. The forward-looking statements and information contained in this news release are made as of the date hereof and no undertaking is given to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws or the Canadian Securities Exchange. The forward-looking statements or information contained in this news release are expressly qualified by this cautionary statement.
CONTACT:
Mark Pryn
Phone: +61.386206400
Email: [email protected]
SOURCE: First Growth Funds Limited