VC remains “resilient” against the backdrop of volatility, says Molten Ventures CEO

By Oliver Smith on Monday 13 June 2022

Alternative LendingDigital BankingSavings and Investment

Yet investors took notice of Molten’s slowing portfolio growth in 2022.

VC remains “resilient” against the backdrop of volatility, says Molten Ventures CEO
Image source: Martin Davies/Molten Ventures.

Investor Molten Ventures (formerly Draper Esprit) saw its portfolio grow to £1.53bn during the year ending 31 March 2022, up from £984m the previous year.

Its growth came, partly, as fintech investments among its portfolio like Revolut, Form3 and Thought Machine raised fresh funding rounds at ever-higher valuations.

Yet the overall rate of portfolio growth, 37 per cent, wasn’t quite as strong as the previous year when Molten’s gross portfolio fair value growth rose by 51 per cent in the year ending March 2021.

CEO Martin Davis said the investor’s 2022 results showed “huge progress” from an operational and financial perspective, as Molten invested £311m during the year, up from just £128m the previous year.

“Our job is not only to identify the best opportunities but to do everything we can to support the growth of the companies in our portfolio, and ensure they have all the tools they need to realise their full potential,” he said.

Molten is better positioned than ever to take advantage of investing in these sought-after assets right the way through their lifecycle from seed to exit.”

The CEO remained optimistic about the current market volatility—which has seen tumbling valuations and job cuts at fintechs like challenger stockbroker Freetrade, as exclusively revealed by AltFi last week.

“Despite recent volatility in world markets caused in part by the tragic events in Ukraine, VC remains resilient, and the European technology market continues to be an area of growth,” Davis said.

“We have successfully navigated several market cycles and our adaptable and scalable business model, combined with the significant progress made this year, puts us in an advantaged position within the current market context.”

While Molten’s boss was upbeat, investors paid attention to the investor’s slowing gross portfolio fair value growth, and shares in the company fell over 6 per cent as news of the results broke.

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Companies in this Article:

Revolut
Freetrade
Thought Machine
Molten Ventures
Form3