”Inflation and increasing interest rates have led to a steep decline in investor risk appetite after two years of abundance. This has particularly affected valuations of growth companies, and had a significant negative impact on Kinnevik’s net asset value in 2022. With measures taken to improve profitability and prolong runways, our companies are entering 2023 with more resilient financial plans. This combined with our own solid financial position, long-term view, and active ownership approach, enables us to remain firmly focused on the continued execution of our strategy.”
Georgi Ganev, CEO of Kinnevik
Key Events
- Kinnevik led a private placement in Recursion, a clinical-stage biotechnology company industrializing drug discovery, and invested in Mews, a hospitality management system designed to simplify and automate all operations for modern hoteliers and their guests
- H2 Green Steel, the Swedish venture aiming to produce green steel in a fully integrated, digitalized and circular plant, was added to our emerging portfolio within climate tech
- Oda raised NOK 1.5bn in new capital from new investors, with participation from Kinnevik, as it continues its geographic expansion
- Kinnevik received double recognition for our leadership in sustainability – we were the only firm awarded the highest category in Honordex Inclusive Index Report 2022, and one of the top performing companies in Sweden in a sustainability ranking by Lund University
Investment Management Activities
- We invested SEK 2.6bn during the fourth quarter, including:
- SEK 843m into Recursion
- SEK 436m into Mews
- SEK 275m into H2 Green Steel
- SEK 471m into Oda
- In full year 2022, we invested SEK 5.7bn in aggregate and released a total of SEK 7.0bn through sell-downs in Tele2 and Teladoc
Financial Position
- NAV of SEK 52.9bn (SEK 189 per share), down SEK 5.1bn or 9% in the quarter and SEK 19.5bn or 27% for the full year
- Net cash position of SEK 10.4bn, corresponding to 24% of portfolio value by year-end
A conference call will be held today at 10.00 CET to present the results.
Link to the webcast (listen only): https://edge.media-server.com/mmc/p/x9iygeu8
Those who wish to ask questions during the conference call are welcome to register via the below link. Participants will receive dial-in numbers and confirmation code upon registration. Please make sure to register and dial in a few minutes before the call begins.
Link to conference call (for participants): https://register.vevent.com/register/BIc2fff370613c42c584d2b65d222631c0