Rapid Realisations in demand
RADID Realisations Fund the early-stage investor, posted a half-year loss of £700,000 and said increasing numbers of cash-strapped businesses were approaching it.
AIM-listed Rapid, which is managed in Haydock by Cenkos Fund Managers, said it had looked at more than 100 investment opportunities, but made only three in the six months to June 30.
The fund, which has stakes in Preston bookmaker Taylormade and Manchester casual dining brand Barburrito, said: “The demand for growth capital has far exceeded our expectations.
“As a result of the continuing economic turmoil and reduced availability of credit we have seen this trend continue during the period.”
It said that exiting investments would be more difficult, and in response portfolio companies are being “strategically positioned” to be attractive to trade buyers, or being given “sufficient critical mass to be attractive to the stock market.”
Net Asset Value per share at 30 June 2009 was 103.34, up 1.34% since March 31.
Chairman Peter Tom said: “In light of the difficult market conditions the company has made only three new investments totaling circa £3m and three follow on investments totaling circa £1.6m during the six months to 30 June 2009, however, our investment opportunities are substantial and we are currently undertaking due diligence on several potential investments.
“Further, due to the continuing restricted availability of credit and general economic uncertainty we have seen an increase in demand for the type of growth capital funding solutions provided by the company.”
Rapid has £22.5m remaining to invest.
