EANS-News: Deutsche Effecten- und Wechsel-Beteiligungsges. AG / DEWB continuously develops its investment portfolio
Geschrieben am 19-03-2009 |
- Expansion of investment activity
- Investment business impacted by financial crisis
- DEWB closes difficult capital market year 2008 with net loss
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Jena, 19 March 2009 (euro adhoc) - Deutsche Effecten- und Wechsel-Beteiligungsgesellschaft AG (DEWB) significantly expanded its investment activity in the 2008 financial year, investing a total of around 9.9 million Euros (2007: 3.9 million Euros). The Company systematically implemented the strategy of focusing its investment portfolio on its core technological competency, with the portfolio share attributable to photonics and sensor systems increasing to 56%. In addition to follow-up financing in the existing portfolio, DEWB invested in two promising new companies: Nanotron Technologies GmbH and Nanda Technologies GmbH.
"We are the only professional venture capital investor in the German-speaking market with a focus on the photonics sector. Our extensive technological expertise and top-quality network within the industry make us the ideal partner for companies looking for capital," commented Bertram Köhler, member of the Management Board of DEWB.
Positive development at KSW and NOXXON As of 31 December 2008, DEWB had investments in a total of twelve companies. KSW Microtec AG (KSW), Dresden, and NOXXON Pharma AG (NOXXON), Berlin, remain the most promising companies in the portfolio and currently offer the greatest revenue potential.
The RFID component manufacturer KSW developed positively in 2008 despite the lower level of income from standard inlays. The company entered new business segments with the launch of new, innovative products for card and eGovernment applications, such as the ultra-thin prelaminate Thinlam©.
The biotechnology company NOXXON is close to entering the clinical phase with three promising drug candidates from its exclusive and highly innovative Spiegelmer technology platform. In addition to Pfizer and Roche, the company successfully attracted Eli Lilly as a third high-profile cooperation partner in 2008.
Net loss due to financial market crisis DEWB closed the 2008 financial year with a net loss of 3.1 million Euros. The financial market crisis led to a slump in company valuations. In this environment, DEWB was unable to realise any significant exits. The Company generated income of 0.7 million Euros from its investment business, compared with 12.6 million Euros in 2007. In the year under review, DEWB recognised write-downs of 2.1 million Euros in profit and loss (2007: 0.4 million Euros). These primarily related to IT and biotechnology investments. Accordingly, DEWB reported a gross loss of 1.6 million Euros (2007: gross profit of 2.6 million Euros). Administrative expenses continued to decline year-on-year, totalling 1.6 million Euros (2007: 1.8 million Euros). Earnings before interest and taxes (EBIT) fell from 1.4 million Euros in 2007 to ?2.4 million Euros in the year under review.
Net asset value, the central performance indicator for value development in the Company´s investment portfolio, fell by 21% from 46.2 to 36.6 million Euros; this results in NAV of 2.41 Euros per share. This was primarily due to the reversal of the revaluation of KSW Microtec Holding AG as of 31 December 2007 in the amount of 6.2 million Euros, as well as the net loss for the year. Assets under management declined from 71.2 million Euros in the previous year to 57.4 million Euros in 2008.
Outlook DEWB´s overriding objective is to expand its assets under management to more than 100 million Euros in the medium term by increasing the value of its investments. In light of the uncertain impact and duration of the financial crisis, it has been necessary to extend the original target of 2010 for this development. Attractive exits resulting in significant income and earnings contributions for DEWB will only be possible once there is a sustained recovery in the market environment and company valuations.
"Our activities over recent years have ensured that DEWB and its key investments are well positioned to cope with an extended lean period without exit possibilities," asserted Bertram Köhler. "We have created a solid basis for the long-term value growth of our investments and are confident that, despite the turbulence currently affecting the stock markets and the economy as a whole, DEWB´s business model will generate above-average returns in the medium and long term."
The 2008 Annual Report published today can be downloaded from DEWB´s website at www.dewb-vc.com.
About DEWB Deutsche Effecten- und Wechsel- Beteiligungsgesellschaft AG (DEWB AG, Prime Standard, Securities No.: 804100 / ISIN: DE0008041005) is an investment company that specialises in young and established medium-sized companies. The focus of our investments is on strong growth companies from the areas of photonics and sensor systems for which we provide support through shareholders' equity, expertise in corporate development and our sector network. Our regional focus lies in the German speaking countries (D, A, CH). Since 1997 we have invested more than 355 million Euros in 55 companies and realized more than 420 million Euros through 36 exits, eight of which were in the form of IPOs. The company is located in Jena, one of the most successful technology and science regions in Germany, with a long tradition in the field of optical technologies and one of the most important European centres for photonics.
end of announcement euro adhoc --------------------------------------------------------------------------------
ots Originaltext: Deutsche Effecten- und Wechsel-Beteiligungsges. AG (DEWB) Im Internet recherchierbar: http://www.presseportal.de
Further inquiry note:
Marco Scheidler
DEWB AG
Leutragraben 1
Germany, 07743 Jena
Tel: +49 (0) 3641 573 3600
Fax: +49 (0) 3641 573 3610
E-Mail: ir@dewb-vc.com
www.dewb-vc.com
Branche: Financial & Business Services ISIN: DE0008041005 WKN: 804100 Index: CDAX, Classic All Share, Prime All Share Börsen: Börse Frankfurt / regulated dealing/prime standard Börse Berlin / free trade Börse Stuttgart / free trade Börse München / free trade
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