Interim report January-December 2021
- Net asset value was SEK 323.2 per share compared to SEK 239.6 at the beginning of the year, corresponding to an increase of 34.9 per cent.
- Bure’s net asset value was SEK 23,964M compared to SEK 17,763M at the beginning of the year.
- Total return on the Bure share was 50.1 per cent compared to the SIX Return Index, which increased 39.3 per cent.
- Consolidated profit after tax amounted to SEK 6,362M (3,236). Earnings per share amounted to SEK 85.8 (45.1).
Interim report October – December 2021
- Net asset value was SEK 323.2 per share compared to SEK 305.9 at the beginning of the quarter, corresponding to an increase of 5.7 per cent.
- Vitrolife completed its acquisition of Igenomix and conducted an issue for non-cash consideration. Bure acquired 0.8 million shares in Vitrolife from the sellers of Igenomix for SEK 310M.
- Bure acquired 0.05 million shares in Xvivo Perfusion’s rights issue for SEK 15M.
- Bure Growth acquired 0.05 million shares in BioLamina’s rights issue for SEK 9M.
Subsequent events
- Net asset value amounted to SEK 225.7 per share on 23 February 2022, which corresponds to a reduction of 30.2 per cent since the beginning of the year.
- The Board of Directors proposes to the Annual General Meeting an ordinary dividend of SEK 2.25 per share (2.00).
- Bure divested all shares in Investment AB Bure, which leases locomotives, to Sandahlsbolagen Sweden AB.
Comments from the CEO
The global economy continued to recover in 2021 despite the ongoing pandemic. 2021 proved to be the strongest stock market year since 2009, with the SIX Return Index increasing 39.3 per cent. Bure’s net asset value grew 34.9 per cent during the year. The absolute majority of this increase in value was due to Vitrolife, whose share price increased 159 per cent. Vitrolife acquired Igenomix in November, creating a global market leader in reproductive healthcare.
Investment activity was high in 2021. The year began with Allgon’s public offering and the listing of ACQ. Allgon, market leader in industrial radio remote controls, is an interesting addition to Bure’s portfolio as it increases both the proportion of unlisted holdings and the number of wholly owned businesses. Soon afterwards, Bure sponsored the listing of Sweden’s first SPAC company, ACQ. In total, Bure invested SEK 700M in ACQ and the ambition is to acquire a Nordic quality company within three years. In addition to these new investments, Bure participated in several financing and strategic acquisitions made by its portfolio companies during the year. In November, Bure divested its remaining holding in MedCap. Overall, the investment in MedCap was highly successful for Bure with a return amounting to nine times the original investment.
However, the beginning of 2022 has been somewhat dramatic. At the time of writing, the SIX Return Index is down about 17 per cent. High inflation, expected rate hikes, and geopolitical tensions in particular, have resulted in revaluations of many growth companies. This, amongst other factors, has seen Bure’s net asset value decrease by 30 per cent. However, my conviction is that our portfolio companies remain well positioned and that their long-term future prospects have not changed.
Bure Equity AB (publ)