RiverFort Global Opportunities (RGO) , an AIM-listed investment company, announced its first-half results for 2023, where its focus shifted to accumulating and preserving cash which saw it end the period with £2.4 million available for future investment. It also noted an uplift in its equity and other investments portfolio valuation following strong progress from Smarttech247(S247) after its December 2022 IPO.

Against a challenging backdrop, RiverFort broadly maintained its NAV in the period, which stood at £10.2 million at 30 June 2023. RiverFort's shares continue to trade below NAV, with its NAV per share standing at 1.30 pence compared to the current share price of 0.59 pence. 

The investment company noted that Smarttech247 is progressing well as a listed company. In May 2021, the company invested €1.4 million in Smarttech247, and since then, the holding has increased in value to £2.4 million at period end, marking a substantial return.

RiverFort has around £2.4 million of net cash available, up from £0.9 million at 31 December 2022, which it has earmarked for future investment. Its focus on accumulating and preserving cash during the period, in turn, meant that investment income was reduced, totalling £215,000 at 30 June. Its debt and equity- linked debt investments and pre IPO investments were both marked down from 31 December 2022, but RiverFort did see its equity and other investments portfolio category increase in value from £1.1 million to £3.3 million in the period. 

Looking ahead, Non-Executive Chairman Philip Haydn-Slater said, “…in response to attractive investment opportunities and significant demand for the Company's capital, a number of new investments have been made which, going forward, we believe will generate attractive returns whilst offering downside protection.  We believe that this combination continues to be an attractive investment strategy in current markets."
 

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RiverFort principally invests by way of debt and/or equity-linked instruments, a strategy that allows it to control volatility and risk. Investment income is principally generated from interest, fees, with additional income from equity conversion and warrants.  Net income from financial instruments at fair value is derived from changes in the value of the company's investment portfolio.

RiverFort has a good record of finding undervalued companies and accelerating their growth. The holding company typically invests by way of debt and/or equity-linked instruments, a strategy which allows it to control volatility and risk. This portfolio currently includes over 20 companies, with principal investments in companies such as Jubilee Metals plc, Gaussin SA, Kibo Energy plc and Valoe Corp Oyj.  Since the period end, investments have been made in companies including Gaussin SA, UK Oil and Gas plc, Cadence Minerals plc and Sareum Holdings plc.

Good progress from Smarttech247 saw RiverFort's equity and other investments portfolio valuation increase in the period. This category is mainly made up of the company's holdings in Smarttech247, Pires (PIRI) and its warrant portfolio. Smarttech247's recent annual and interim performance, coupled with significant new contract wins, have solidified the company's growth plans. 

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