The information contained within this announcement is deemed by the Company (Companies House registration number 08873361) to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

                                                                                                                         23 May 2025       

Tekcapital PLC

("Tekcapital", "the Company" or the "Group")

Final results for the year-ended 31 December 2024

Tekcapital plc (AIM: TEK), the UK intellectual property (IP) investment group focused on creating valuable companies from investing in university technologies that can improve people's lives, announces its audited results for the year ended 31 December 2024.

Dr. Clifford Gross, Executive Chairman, commented:

"We are excited to provide this 2024 summary report which describes a few of our portfolio company achievements and their contribution to our profitability and growth. In 2024 our net assets reached US $70.1m, an increase of ~46%, over the previous year, an annual record since the Company's inception. NAV per share was US $0.33.

"Our performance reflects strong commercial progress through the completion of two AIM listings (MicroSalt plc & GenIP plc), and as a result, four of our five portfolio companies are now listed. Additionally, we observed significant commercial traction for Innovative Eyewear Inc. as they achieved several new product and go-to-market milestones. We were also pleased to note MicroSalt has received new and follow-on B2B orders from a major snack food manufacturer. Further, we believe that Guident Corp's commercial advancements, coupled with improving performance and market traction in the autonomous vehicle industry, have created a fertile opportunity for Tekcapital to potentially further crystallise its balance sheet in 2025.

"We believe that Tekcapital's success in 2024 is a testament to its portfolio companies' strategic positioning and relevance. Our core long-term financial objective is to grow net assets and returns on invested capital. Once material levels of capital are monetized from our portfolio companies, we will seek to provide a special dividend. We remain committed to this long-term objective, and our portfolio companies' progress in 2024 is a good step in that direction."

Financial Highlights:

·      Net Assets increased 46.3% to US$70.1m (2023: US$47.9m)

·      NAV per share increased 22.2% to US$0.33 (2023: US$0.27)

·      Portfolio valuation increased 49.6% to US$61.5m (2023: US$41.1m)

·      Profit after tax increased to US$19.2m (2023: loss of US$15.7m)

·      Administrative expenses decreased 26% to US$2.0m (2023: US2.7m)

·      Cash and equivalents increased 33.3% to US$0.8m (2023: US0.6m).

Operational Highlights:

·      Successful listing of MicroSalt on London's AIM, securing growth capital for the company of £3.1m

·      Successful listing of GenIP on London's AIM, securing growth capital for the company of £1.75m

·      Crystallised a combined £18.3m of portfolio value on IPO through the listings of GenIP and MicroSalt

·      Preparation of Guident for proposed NASDAQ IPO in 2025

·      Developed an artificial intelligence focused investment strategy, establishing a base for future portfolio growth

·      Structural cost management reduced operating expenses by 20.8%.

EXCEPTIONAL FINANCIAL PERFORMANCE

In 2024, Tekcapital plc (the "Company") and subsidiaries (the "Group" or "Tekcapital") delivered strong performance, placing the Group at the front of the UK-listed IP commercialization and technology investment sector during a challenging year in the markets. Portfolio return and revenue surged in 2024 to US $21.2 million from a US $13.0 million loss recorded in 2023.

Profit after tax in 2024 rose to US$19.2m from a loss of US$15.7m in 2023, driven by an increase in total income coupled with a reduction of expenses. Overall, there was a ~US $35m positive swing in Profit after tax - underscoring the effectiveness of Tekcapital's strategic direction and the inherent value of its portfolio companies.

Consistent with this, Net assets expanded from US$47.9m to US$70.1m, reflecting a 46% year-over-year increase.

The Group's Net Assets are higher by approximately US$4.8m as compared to our 2024 unaudited year-end portfolio update provided on 17 February 2025 due to the addition of a fair value control premium attributed to Tekcapital's majority stakes in Microsalt plc and GenIP plc.

PORTFOLIO COMPANIES: IPOs, GROWING SALES & STRONG COMMERCIAL PROGRESS

Demonstrating Tekcapital's ability to successfully commercialise technologies, even in adverse markets, two of our Investment Portfolio companies (MicroSalt plc & GenIP plc) floated on AIM in 2024. As a result, four out of five portfolio companies are now public. In 2024 only 10 companies completed IPO's on AIM[1].

Notable commercial success was achieved at the Investment Portfolio level driven by their strategic positioning and relevance to addressing pressing global needs with compelling new technologies. Our portfolio companies achieved many milestones during 2024, some of which included:

·      MicroSalt plc ("Microsalt") secured recurring bulk purchases of its full-flavour, low-sodium salt, for multiple product lines from one of the world's largest food manufacturers. The Company also anticipates additional purchase orders for MicroSalt® from the same customer for additional product lines in 2025, and significant increases more broadly in its B2B sales volumes.

·      Innovative Eyewear Inc ("Innovative Eyewear") continued to grow their sales in 2024 and strengthened their balance sheet. They set the foundation for more growth with strong relationships with big box stores throughout the U.S. consistent with their focus on product placement with large national retailers. The well received launch of world's first smart safety eyewear, Lucyd Armor®, expanded Innovative Eyewear's sales further.

·      Guident CORP ("Guident") progressed the integration of its remote monitoring and control software with several autonomous vehicle ("AV") shuttle partners, and commenced a sales program to deliver security robots that will leverage its existing Remote Monitor and Control Centre ("RMCC") in the future. This work has resulted in several new contracts in 2025 and a strong sales pipeline.

·      GenIP plc ("GenIP") announced it has signed a commercial agreement with a leading Saudi Arabian research institution, GenIP's first client in the Kingdom. In addition, GenIP has received significant orders from organisations in the U.S., Latin America, South Africa, and Singapore for its GenAI analytic services.

·      Belluscura plc ("Belluscura") continued its revenue growth in 2024. The Company also received Pricing Data Analysis and Coding ("PDAC") codes that allow Durable Medical Equipment distributers to claim reimbursement from Medicare for sales of DISCOV-R to patients. We believe that this is an important catalyst for future sales growth, and greatly contributes to the enterprise value of the business, when added to its previously received FDA clearance and deep patent portfolio rights.

Tekcapital's Portfolio Companies 2024

OUTPERFORMING THE SECTOR

Tekcapital plc's exceptional 2024 performance represents a compelling narrative of innovation and strategic foresight. The Company's ~46% increase in net assets to US$70.1m demonstrates its ability to execute effectively under challenging market conditions. Our 2024 share price performance is particularly noteworthy when compared with other listed U.K. IP commercialization companies, technology investment companies and relevant indices as follows*:

**includes data for 12 month period ended 31 December 2024

·      Tekcapital plc: +27% (London Stock Exchange)

·      AIM All-Share Index: -5.5% (London Stock Exchange)

·      FTSE 250: +5.69% (London Stock Exchange)

This performance validates Tekcapital's differentiated approach of carefully identifying and nurturing groundbreaking university technologies that have the potential to improve the quality of life of the customers we serve. Our sector focus requires both mitigation of adverse selection and patience, two complementary characteristics that are somewhat uncommon in the small cap markets.

In our view, Tekcapital's year-end share price discount to NAV of ~66% appears unwarranted, given the company's strong execution and portfolio maturation. According to Morningstar, the average market cap discount to NAV for UK closed-end funds (a close analogue) in 2024 was 16.6%. By peer comparison:

·      Molten Ventures plc trades at a 52% discount to NAV (Molten Ventures plc, 2024)

·      IP Group plc trades at a 45% discount to NAV (IP Group plc, 2024)

·      Frontier IP Group plc trades at a 35% discount to NAV (Frontier IP Group plc, 2024)

·      Mercia Asset Management plc trades at a 25% discount to NAV (Mercia Asset Management plc, 2024).

With four of five portfolio companies now publicly listed and demonstrating commercial traction, we believe there is a probability that Tekcapital's valuation gap may narrow, if its fifth portfolio company achieves a public listing or if one of the other portfolio companies achieves noteworthy commercial milestones.

Share placings totalling US$3.6m, net of share issue costs, were completed during the period (2023: US$5m). Tekcapital's strengthened financial position, combined with its strategic portfolio of companies operating in high-growth, globally relevant sectors like sodium reduction (MicroSalt), respiratory care (Belluscura), autonomous vehicle safety (Guident), smart eyewear (Innovative Eyewear) and GenAI analytic services (GenIP), positions the company for continued growth in the value of our investment portfolio.

We envision the continued growth of existing portfolio companies to be aided by new investments in the Generative Artificial Intelligence sector. Our portfolio companies address critical market needs and have demonstrated meaningful commercial progress in 2024.

Tekcapital's future outlook is supported by:

·      A proven ability to identify, select and commercialize university technologies

·      Strong portfolio company execution and public market validation

·      Operating leverage from our efficient, low-cost corporate structure

·      Multiple potential catalysts for further value creation in 2025 & beyond

Dr. Benjamin Franklin famously stated in Poor Richard's Almanack: "A penny saved is two pence clear." Following this inspiration, Tekcapital is glad to report it has the lowest operating cost structure amongst its listed peers in the UK, with 2024 administrative expenses of just US$2.0m, compared to IP Group plc, Molten Ventures plc, Mercia Asset Management plc or Frontier IP Group plc. We believe that this is partly due to our selectivity and the concentrated nature of our portfolio. As Warren Buffet has sagaciously demonstrated, value creation is not dependent on diversification but rather on carefully investing for the long-term in the right assets.

We are thankful to our steadfast shareholders for their unwavering support and to our portfolio company management teams that have punched significantly above their weight.

PORTFOLIO REVIEW

Our investment portfolio consists of the following companies:

MicroSalt's patented, low-sodium salt delivers full-flavoured natural salt with approximately 50% less sodium.

INVESTMENT RATIONALE:

The snack food industry is focused on developing and providing better-for-you products that both taste good and help reduce sodium intake. Excess sodium consumption contributes to cardiovascular disease, a leading cause of premature death globally. The World Health Organization has indicated that reducing sodium consumption to 2,300 mg/day can save upwards of 2m lives per year. To help address this problem, MicroSalt provides a patented, low-sodium salt has all the flavour of salt with roughly half the sodium for topical applications such as crisps, pretzels, nuts, popcorn and other salty snacks, bakery products and precooked meals.

2024 DEVELOPMENTS:

·      Successfully completed its Initial Public Offering with listing price of 43p per share and commenced trading on the AIM market of the London Stock Exchange on February 1st, 2024. MicroSalt's share price as of 31 December 2024 increased to 77p.

·      Secured large volume purchase commitments of MicroSalt® with a leading food manufacturer as well as placements of its salt shakers across multiple retail locations, and large volume commitments into 2025

·      Has been granted an important additional patent #11,992,034 protecting the IP of its micron-sized salt. This patent, entitled Low Sodium Salt Composition, is focused on how MicroSalt's low-sodium salt adheres to food particles vs traditional table salt. MicroSalt also has counterpart patent applications with claims directed to similar subject matter pending in countries including China, Chile, Australia, Brazil, Europe, Canada, Japan, Russia, Mexico, India and Hong Kong., many of which have been granted as of the date of this report. 

·      Introduced MicroSalt® shakers on Amazon UK and laid the foundation for the UK expansion of MicroSalt's bulk business with local distribution and storage via Reliable Express.

·      Announced multiple placements of its products including placement of SaltMe! Crisps on Thrive Market, a US-based healthy snack marketplace with 1.2 million members, and Carma Hospital Group, marking the Company's entrance into the food service market.

·      Developed additional B2B bulk product for Quick Service Restaurant after receiving indicators of demand for MicroSalt from the fast-food sector.

Innovative Eyewear Inc's vision is to Upgrade your Eyewear® by providing tech-enhanced eyewear that makes it easier to stay connected to your digital life. Lucyd introduced the world's first prescription ready, smart eyewear with ChatGPT.

Photo courtesy of Innovative Eyewear, Inc.

Innovative Eyewear Inc. is the first developer of ChatGPT enabled smart eyewear under the Lucyd®, Nautica®, Eddie Bauer® and Reebok® brands. Innovative Eyewear, Inc ("Innovative Eyewear"), Lucyd's ~10% owned U.S. operating subsidiary, was the first Company to deliver prescription glasses with Bluetooth® technology in 2019. Their eyeglass frames help you stay connected safely and conveniently, by enabling many common smartphone tasks to be performed handsfree with Bluetooth®, voice assistants and GenAI.

INVESTMENT RATIONALE:

In the first 9 months of 2024, the National Highway Traffic Safety Administration (NHTSA) estimates that 29,135 people died in traffic crashes on public roads.[2] We believe that open ear audio found in Lucyd smart glasses can help pedestrians maintain situational awareness whilst walking running and cycling as there is nothing in the ear canal blocking the sounds of adjacent traffic. According to the Vision Institute², approximately 75% of the adult population need corrective lenses, and advancements in Bluetooth technology have enabled it to be incorporated into traditional eyeglass form factors. This combination created a new type of eyewear with built-in speakers, microphones and touch controls. Lucyd smart eyewear allows the wearer to forego headphones and use their glasses to listen to audio content and talk to others and digital assistants. Since the speakers are open-ear, Lucyd smart glasses enables the wearer to stay connected to their digital life whilst maintaining situational and social awareness.

2024 DEVELOPMENTS:

·      Announced a partnership with New Look Vision Group to distribute its smart eyewear in Canada. New Look Vision Group is one of the largest optical groups in Canada and has been rapidly expanding in the United States.

·      Launched major products under its licensed branded smart eyewear products: Nautica and Eddie Bauer.

·      Appointed Micah Richards as a brand ambassador. Micah is a former Olympic athlete and English footballer, turned successful broadcaster. He is currently working for several sport networks whilst he is also a co-host of "The Rest is Football" - a top ten UK podcast.

·      Expanded its sales prospects by launching the world's first smart safety eyewear in a lightweight, affordable and prescription-ready form factor, and meeting the ANSI Z87.1 standard for workplace safety use. The Company is already in discussion with several notable retailers about launching the Lucyd Armor™ product in their brick and mortar locations and online sales channels.

Photo courtesy of Innovative Eyewear, Inc.

·      Innovative Eyewear Inc also announced its Lucyd Lyte frames are now available on Target.com.

·      Reported second quarter revenue growth of 82% compared to the second quarter of 2023, also noting improvement in gross margins. Innovative Eyewear anticipates the potential for additional growth in the fourth quarter of 2024 as the new Lucyd Armor^TM and Reebok® Powered by Lucyd lines are launched, as the unit cost of these new products are estimated to be significantly lower than current Lucyd Lyte models.

Guident Limited ("Guident") has developed and deployed remote monitoring and control software to improve safety of autonomous vehicles and land-based delivery devices. Guident's software incorporates artificial intelligence and advanced network technologies to minimize signal latency and improve the safety of autonomous vehicles.

Guident RMCC- Photo courtesy of Guident Corp.

Guident developed a state of the art, fully functional remote monitoring and control software to improve the safety of autonomous vehicles and land-based delivery devices.

INVESTMENT RATIONALE:

Vehicles of all types are rapidly becoming electric and autonomous. Whilst Autonomous Vehicles ("AVs") are projected to be significantly safer than traditional vehicles, there will still be mishaps and in many instances there will be no vehicle operator present to help resolve these problems. Guident believes remote human interaction will be needed to address many of these mishaps. Guident's remote monitoring and control centre monitors vehicles and when necessary, can provide additional support such as calling first responders, taking over control of the vehicle to move it out of harm's way as well as provide real-time communication with passengers and pedestrians. Over time, Guident believes remote monitoring centres will be required in most jurisdictions where AVs operate.

2024 DEVELOPMENTS:

·      Hosted the grand opening of its first U.S. commercial Remote Monitor and Control Centre (RMCC) for enhancing AV safety. Guident's new best-in-class RMCC including video wall displays and visualisation system, is now commercially available. This deployment is strategically located at the Boca Raton Innovation Campus (BRiC), the largest office complex in Florida (1.7m sq ft), and the Southeast's premier technology and life-sciences hub. 

·      Entered into a Strategic Partnership agreement with Star Robotics, a leading Spanish security robotics company. The Strategic Partnership will aim to integrate Guident's teleoperation solution into Star Robotics' products and provide an autonomous security surveillance solution with a human-in-the-loop capability. The partnership enables both companies to work on a combined go to market strategy and roll out in North America.

·      Incorporated its RMCC technology into AuVe Tech OÜ ("Auve Tech") Level 4 MiCa autonomous shuttles. The MiCa vehicle offers turnkey autonomous transportation solutions tailored to diverse environments and simple integration into existing transport networks. 

·      Received a second grant from Space Florida to add low earth orbit, low-latency satellite connectivity to its AV remote monitoring service. This Space Florida-Israel Innovation grant supports the development and implementation of a leading-edge system architecture, leveraging non-geostationary satellite technology to provide monitoring redundancy in the event of mobile network outages.

Image courtesy of GenIP plc

GenIP Ltd ("GenIP") was incorporated on 23 February 2024 with a goal of building a unique GenAI B2B analytics service business. Subsequently, Tekcapital's Invention Evaluator® and VortechsTM business services were developed into new services with the introduction of Generative AI large language models (LLMs) into their workstreams. GenIP uses generative artificial intelligence aimed at empowering companies to better evaluate and commercialise technological discoveries through its services. GenIP represents Tekcapital's fifth portfolio company. GenIP plc listed on the AIM in October 2025.

INVESTMENT RATIONALE

The GenAI market is currently experiencing exponential growth. In 2023, 426 start-ups received total funding in excess of US$21 billion. GenIP provides Services to evaluate new technologies and identify capable individuals to market these technologies. We believe the incorporation of GenAI LLM's into these services will help companies, research institutions and venture funds mitigate adverse selection, improve returns on invested capital and more efficiently deploy capital to produce useful businesses that can become financially successful and contribute to the quality of life of the customers they serve. The initial performance appears quite promising.

2024 DEVELOPMENTS:

·      Effective 4 June 2024, GenIP acquired certain assets and liabilities from Tekcapital related to Invention Evaluator and Vortechs business service lines. These assets and liabilities, disclosed in the Related Parties note to the financial information below, were transferred to GenIP Ltd as part of a US$191,564 capital contribution by Tekcapital plc. GenIP's new products were launched in September 2024.

·      Signed a commercial agreement with a leading Saudi Arabian research institution, GenIP's first client in the Kingdom.

·      Initiated negotiations with over 50 potential new clients, including research institutions, corporations, and venture capital firms, following recent engagements at global technology transfer events.

·      Following the launch of GenIP's GenAI services, 195 orders for IE Reports and 8 orders for Vortechs placement assignments were secured prior to year end 2024.

Belluscura plc ("Belluscura") is a respiratory medical Device company that has developed and launched an improved portable oxygen concentrator (POC) to provide on-the-go, supplemental O2. Belluscura believes its product is  the first FDA cleared, modular POC with a user-replaceable filter cartridge. Belluscura aims to make POC's more affordable to those who need them.

INVESTMENT RATIONALE:

Worldwide, approximately 300m individuals suffer from COPD (chronic obstructive pulmonary disease). COPD is a progressive lung disease that includes emphysema and chronic bronchitis and is the fourth leading cause of death worldwide, causing 3.5 million deaths in 2021, approximately 5% of all global deaths.[3]

POC's are also used to treat the following maladies:

Interstitial lung disease (ILD): This is a group of lung diseases that cause scarring of the lungs.

Cystic fibrosis: This is a genetic disease that causes thick, sticky mucus to build up in the lungs, making it hard to breathe.

Sleep Apnea: This is a sleep disorder that causes breathing to repeatedly stop and start.

Pulmonary hypertension: This is high blood pressure in the lungs.

Heart failure: This is a condition that makes it hard for the heart to pump blood effectively.

Many patients suffering from the above disorders require supplemental oxygen. As there is no cure for COPD, over time patients require greater amounts of oxygen, and if they use a portable oxygen concentrator, many individuals must replace their devices with greater capacity models as their disease progresses. With Belluscura's new patented device, users can swap out the filter cartridges to enable higher capacity oxygen flow without having to buy a new device, like upgrading memory on a laptop. The result is more affordable oxygen therapy, which increases the number of people who can avail themselves of POC's to improve both the duration and quality of life.

2024 DEVELOPMENTS:

·      Belluscura announced their prospects were enhanced by the forthcoming release of the new DISCOV-R device.

·      The company announced its revenue continued to grow through 2024, with revenue of ~$3.3m in the first nine months of 2024.

·      Belluscura was also able to complete the acquisition of TMT Acquisition plc and raised US$ 7.3m through combination of convertible loan notes and new placings, enabling the company to deliver on the demand for its products.

Photo courtesy of Belluscura plc

POST PERIOD END HIGHLIGHTS

Following successful deployments of its Remote Monitor and Control Center, Guident has confidentially submitted a draft registration statement on Form S-1 with the Securities and Exchange Commission (the "SEC") relating to the proposed initial public offering. The initial public offering is expected to take place after the SEC completes its review process, subject to market and other conditions. Guident has also received significant additional patent coverage:

·      Guident has successfully validated its European Patent Grant No. 4097550, entitled Artificial Intelligence Method and Apparatus for Remote Monitoring and Control of Autonomous Vehicles, and has obtained patent protection in 20 European countries.

The validated European patent is directed to an autonomous vehicle remote monitoring and control center (RMCC) employing distributed sensor fusion and artificial intelligence techniques that is configured to receive sensor data across multiple independently governed autonomous vehicles, including sensor data from vehicles not operating under RMCC control, determine incident risk levels, implement safety measures and take control of one or more of the autonomous vehicles when operating at an unsafe incident risk level, and return control when the risk level is safe.

·      In addition, Guident is pleased to announce it has received a Notice of Allowance from the United States Patent and Trademark Office for its U.S. Patent Application No. 17/579,203, entitled Near Real-Time Data and Video Streaming System for a Vehicle, Robot or Drone. The allowed U.S. patent application is directed to methods and systems for using a remote monitoring control device to receive video and image data from and communicate with collection devices of autonomous vehicles, robots, or drones (such as camera sensors) to improve the safety of their operation.  Guident anticipates the United States Patent will issue in due course after it pays the required issue fee.

·      Guident, in collaboration with the Related Companies, Circuit Transit and Auve Tech, announced the launch of a pilot program with the City of West Palm Beach to demonstrate the future of urban public transportation. The MiCa, a fully electric SAE Level 4 autonomous shuttle, has been operating autonomously within the CityPlace area of West Palm Beach since mid-February, successfully navigating the dense urban area occupied by cars, trucks, bicycles and pedestrians. With six stops between Brightline Station and the Publix supermarket plaza, the project offers 0.9 miles of clean, quiet and convenient public transportation within the heart of West Palm Beach.

MiCa Shuttle in West Palm Beach, Florida - Photo courtesy of Guident Corp.

·    Guident also announced it secured its first contract for its Autonomous Surveillance & Inspection Robot service with the Boca Raton Innovation Campus (BRiC), a 1.7-million-square-foot multi-tenant office campus and IBM's former R&D facility.

·    In addition to the above Guident has a strong pipeline of customers it is seeking to close in H1.

Innovative Eyewear Inc announced that it has partnered with Micro Center^TM, one of the leading tech retailers in the United States, to expand its retail reach and bring Lucyd smart eyewear in stores nationwide and online.

Additionally, post period end Innovative Eyewear announced the launch of its Reebok smart eyewear powered by Lucyd and the inking of a partnership deal with Eye Recommend, expanding their smart eyewear across 600+ independent optometry stores in Canada.

Reebok smart eyewear - Photo courtesy of Innovative Eyewear Inc.

Also, post period-end, MicroSalt plc completed a successful, oversubscribed fundraising of £2.3 million. The proceeds of the Subscription will be mainly used to support inventory to satisfy expected B2B customer demand in 2025 from leading snack manufacturers, as well as general working capital purposes. MicroSalt has received commitments for an additional 290 metric tonnes ("mT") in bulk orders for 2025 and expects this to further increase as MicroSalt is rolled out over new product lines. Based on existing orders for Q1 2025 and expected orders for the rest of 2025 for existing product lines, B2B volumes are projected to increase more than 10X the quantity manufactured in 2024.

MicroSalt also announced they launched a new Quick Service restaurant ("QSR") product, initially targeting the "French fry" market where the Company sees a tremendous opportunity for growth. At the same time, significant new FDA guidance was released indicating the near-term requirement for front of package nutrition labels, providing another catalyst for MicroSalt's product.

MicroSalt has been recognized by Fast Company in their 2025 list of the World's Most Innovative Companies. The company, known for its patented full-flavor salt with approximately 50% less sodium, earned the ninth position in the "Small but Mighty" category, which highlights businesses with fewer than 50 employees that are making significant impacts in their industries.[4]

Image courtesy of MicroSalt plc

GenIP plc provided a significant corporate update, noting since the launch of its GenAI enhanced services in September 2024, they have secured Invention Evaluator orders for over 450 analytical assessments.

Additionally, GenIP Plc announced it secured a significant contract worth $0.35m with a new client, a research organisation in Saudi Arabia (the "Client"). The contract commences immediately and covers the delivery of 400 GenAI-enhanced analytical assessments and additional technology commercialisation consulting services.

Post end-of-period Belluscura announced on 6 February 2025, the Company has raised gross proceeds of approximately US$5.0 million through the placing of 199,151,375 new ordinary shares. Additionally on 16 April 2025 Belluscura announced its Q1 2025 sales were US$912,000 (Q1 2024: US$166,000), and that it has launched the X-PLOR 5, the first FDA cleared five-level portable oxygen concentrator weighing under four pounds. In May 2025, Belluscura also announced that it initiated a strategic review aimed at supporting both the Company's short-term cash requirements and its longer-term growth and accelerating its path to sustainable profitability. The Company also confirmed, as of 9 May 2025, the US import tariff on its portable oxygen containers remains at zero and that April 2025 marked their best sales month with US$0.52m in revenue booked. On 9 May 2025 Belluscura announced it has initiated a strategic review, which will evaluate a range of options to substantially strengthen its capital position, including potential strategic investment, partnerships, alternative funding structures and other corporate initiatives. The review is aimed at supporting both the Company's short-term cash requirements and its longer-term growth and accelerating its path to sustainable profitability.

For further information, please contact: 

About Tekcapital plc

Tekcapital creates value from investing in new, university-developed discoveries that can enhance people's lives and provides a range of technology transfer services to help organisations evaluate and commercialise new technologies. Tekcapital is quoted on the AIM market of the London Stock Exchange (AIM: symbol TEK) and is headquartered in the UK. For more information, please visit www.tekcapital.com

General Risk Factors and Forward-Looking Statements

The information contained in this document has been prepared and distributed by the Company and is subject to material updating, completion, revision, verification and further amendment. This Report is directed only at Relevant Persons and must not be acted on or relied upon by persons who are not Relevant Persons. Any other person who receives this Report should not rely or act upon it. By accepting this Report, the recipient is deemed to represent and warrant that: (i) they are a person who falls within the above descrip-tion of persons entitled to receive the Report; (ii) they have read, agree and will comply with the contents of this notice. The securities mentioned herein have not been and will not be, registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or under any U.S. State securities laws, and may not be offered or sold in the United States of America or its territories or possessions (the "United States") unless they are registered under the Securities Act or pursuant to an exemption from or in a transaction not subject to the registration requirements of the Securities Act. This Report is not being made available to persons in Australia, Canada, Japan, the Republic of Ireland, the Republic of South Africa or any other jurisdiction in which it may be unlawful to do so and it should not be delivered or distributed, directly or indirectly, into or within any such jurisdictions.

Investors must rely on their own examination of the legal, taxation, financial and other consequences of an investment in the Com-pany, including the merits of investing and the risks involved. Prospective investors should not treat the contents of this Report as advice relating to legal, taxation or investment matters and are advised to consult their own professional advisers concerning any acquisition of shares in the Company. Certain information contained in this Report has been obtained from published sources prepared by other parties. Certain other information has been extracted from unpublished sources prepared by other parties which have been made available to the Company. The Company has not carried out an independent investigation to verify the accuracy and completeness of such third-party information. No responsibility is accepted by the Company or any of its directors, officers, em-ployees or agents for the accuracy or completeness of such information.

All statements of opinion and/or belief contained in this Report and all views expressed represent the directors' own current as-sessment and interpretation of information available to them as at the date of this Report. In addition, this Report contains certain "forward-looking statements", including but not limited to, the statements regarding the Company's overall objectives and strategic plans, timetables and capital expenditures. Forward-looking statements express, as at the date of this Report, the Company's plans, estimates, valuations, forecasts, projections, opinions, expectations or beliefs as to future events, results or performance. Forward-looking statements involve a number of risks and uncertainties, many of which are beyond the Company's control, and there can be no assurance that such statements will prove to be accurate. No assurance is given that such forward looking statements or views are correct or that the objectives of the Company will be achieved. Further, valuations of the Company's portfolio investments and net asset value can and will fluctuate over time due to a wide variety of factors both company specific and macro-economic. Changes in net asset values can have a significant impact on revenue and earnings of the Company and its future prospects. Additionally, the current Coronavirus pandemic may produce negative economic activities which could reduce the company's economic performance and the performance of its portfolio companies in ways that are difficult to quantify at this juncture. It may cause a downturn in the markets in which the Company operates, reduce the Company's net asset values, revenue, cash flow, access to investment capital and other factors which could negatively impact the Company. As a result, the reader is cautioned not to place reliance on these statements or views and no responsibility is accepted by the Company or any of its directors, officers, employees or agents in respect thereof. The Company does not undertake to update any forward-looking statement or other information that is contained in this Report. Neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct or indirect, express or implied, contractual, tortious, statutory or otherwise, in respect of, the accuracy or completeness of the information contained in this Report or for any of the opinions contained herein or for any errors, omissions or misstatements or for any loss, howsoever arising, from the use of this Report. Neither the issue of this Report nor any part of its contents is to be taken as any form of contract, commitment or recommendation on the part of the Company or the directors of the Company. In no circumstances will the Company be responsible for any costs, losses or expenses incurred in connection with any appraisal, analysis or investigation of the Company. This Report should not be considered a recommendation by the Company or any of its affiliates in relation to any prospective acquisition or disposition of shares in the Company. No undertaking, Report, warranty or other assurance, express or implied, is made or given by or on behalf of the Company or any of its affiliates, any of its directors, of-ficers or employees or any other person as to the accuracy, completeness or fairness of the information or opinions contained in this Report and no responsibility or liability is accepted for any such information or opinions or for any errors or omissions.

Intellectual Property Risk Factors

Tekcapital mission is to create valuable products from university intellectual property that can improve people's lives.  Therefore, our ability to compete in the market may negatively affected if our portfolio companies lose some or all of their intellectual property rights. If patent rights that they rely on are invalidated, or if they are unable to obtain other intellectual property rights. Our success will depend on the ability of our portfolio companies to obtain and protect patents on their technology and products, to protect their trade secrets, and for them to maintain their rights to licensed intellectual property or technologies. Their patent applications or those of our licensors may not result in the issue of patents in the United States or other countries. Their patents or those of their licensors may not afford meaningful protection for our technology and products. Others may challenge their patents or those of their licensors by proceedings such as interference, oppositions and re-examinations or in litigation seeking to establish the invalidity of their patents. In the event that one or more of their patents are challenged, a court may invalidate the patent(s) or determine that the patent(s) is not enforceable, which could harm their competitive position and ours. If one or more of our portfolio company patents are invalidated or found to be unenforceable, or if the scope of the claims in any of these patents is limited by a court decision, our portfolio companies could lose certain market exclusivity afforded by patents owned or in-licensed by us and potential competitors could more easily bring products to the market that directly compete with our own. The uncertainties and costs surrounding the prosecution of their patent applications and the cost of enforcement or defence of their issued patents could have a material adverse effect on our business and financial condition.

To protect or enforce their patent rights, our portfolio companies may initiate interference proceedings, oppositions, re-examinations or litigation against others. However, these activities are expensive, take significant time and divert management's attention from other business concerns. They may not prevail in these activities. If they are not successful in these activities, the prevailing party may obtain superior rights to our claimed inventions and technology, which could adversely affect their ability of our portfolio companies to successfully market and commercialize their products and services. Claims by other companies may infringe the intellectual property rights on which our portfolio companies rely, and if such rights are deemed to be invalid it could adversely affect our portfolio companies and ourselves as investors in these companies.

From time to time, companies may assert, patent, copyright and other intellectual proprietary rights against our portfolio company's products or technologies. These claims can result in the future in lawsuits being brought against our portfolio companies or their holding company. They and we may not prevail in any lawsuits alleging patent infringement given the complex technical issues and inherent uncertainties in intellectual property litigation. If any of our portfolio company products, technologies or activities, from which our portfolio companies derive or expect to derive a substantial portion of their revenues and were found to infringe on another company's intellectual property rights, they could be subject to an injunction that would force the removal of such product from the market or they could be required to redesign such product, which could be costly. They could also be ordered to pay damages or other compensation, including punitive damages and attorneys' fees to such other company. A negative outcome in any such litigation could also severely disrupt the sales of their marketed products to their customers which in turn could harm their relationships with their customers, their market share and their product revenues. Even if they are ultimately successful in defending any intellectual property litigation, such litigation is expensive and time consuming to address, will divert our management's attention from their business and may harm their reputation and ours.

Several of our portfolio companies may be subject to complex and costly regulation and if government regulations are interpreted or enforced in a manner adverse to them, they may be subject to enforcement actions, penalties, exclusion, and other material limitations on their operations and have a negative impact on their financial performance. All of the above listed risks can have a material, negative affect on our net asset value, revenue, performance and the success of our business and the portfolio companies we invested in.

STRATEGIC REPORT

CHAIRMAN'S SUMMARY

Tekcapital Performance Update

Tekcapital delivered exceptional financial performance in 2024, transitioning from a loss in 2023 to significant profitability. The company's portfolio return and revenue surged to US ~$21 million from a US ~$13 million loss in 2023. Profit after tax rose substantially to US ~$19.2 million from a loss of US ~$15.7 million the previous year, driven by increased total income and reduced expenses. This represents an impressive US ~$35 million positive swing in Net Income, demonstrating the effectiveness of Tekcapital's strategic direction and the inherent value of its portfolio companies.

Net assets expanded from US$47.9 million to an annual record of US$70.1 million, reflecting a 46% year-over-year increase.

The company's portfolio valuation reached US $61.5 million (up from US $41.1 million in 2023), with NAV per share growing to US $0.33 (from US $0.27).

Tekcapital completed share placings totaling US $3.6 million during the period.

Portfolio Company Achievements

Demonstrating Tekcapital's ability to successfully commercialize technologies even in adverse markets, two Investment Portfolio companies (MicroSalt plc and GenIP) floated on AIM in early 2024, bringing the total number of public portfolio companies to four out of five. A few of the many achievements across the portfolio included:

·      MicroSalt secured recurring bulk purchases for multiple product lines from one of the world's largest food, soft drink, and snack manufacturers, with additional purchase orders anticipated for 2025 and a significant projected increase in B2B volume.

·      Innovative Eyewear continued sales growth and strengthened its balance sheet, and launched the first smart safety eyewear line under the Lucyd Armor^TM brand.  The Lucyd Armor product is certified to comply with the American National Standards Institute. 

·      Guident progressed the integration of its remote monitor and control software with several AV shuttle partners and launched a sales program targeting the security robot market, resulting in multiple contracts announced in early H1 2025.

·      GenIP signed a commercial agreement with a leading Saudi Arabian research institution, its first client in the Kingdom

·      Belluscura continued revenue growth and received important Pricing Data Analysis and Coding ("PDAC") codes allowing medical equipment distributors to claim Medicare reimbursement

Following the period end, Guident appointed an investment bank to assist with a potential Nasdaq IPO in 2025. MicroSalt completed an oversubscribed fundraising of £2.3 million and secured commitments for significantly increased bulk orders in 2025. Belluscura has also recently completed a fundraise of gross proceeds of ~£4.7 million. 

Outlook

Tekcapital has demonstrated a proven ability to identify and commercialize university technologies, with strong portfolio company execution and public market validation. Its efficient corporate structure provides operating leverage, with administrative expenses of just US $2.0 million in 2024, the lowest amongst all of its peers in the United Kingdom.

The Company has multiple potential catalysts for value creation in 2025, particularly if its fifth portfolio company achieves a public listing or if existing portfolio companies reach noteworthy commercial milestones. Tekcapital's strategic positioning in high-growth, globally relevant sectors including sodium reduction (MicroSalt), respiratory care (Belluscura), autonomous vehicle safety (Guident), smart eyewear (Innovative Eyewear), and AI-driven innovation (GenIP) positions the company for continued growth.

We intend to aggressively pursue further investments in pre-existing generative artificial intelligence companies (GenAI). Our potential targets are expected to include companies that are focused on the transformative impact of GenAI on business workflows across a number of sectors. Having witnessed GenAI's positive impact on a few of our portfolio companies, we believe its potential to accelerate value creation, mitigate risk and reduce administrative overhead may provide significant investment opportunities for the Group.

Tekcapital's long-term objective is to grow both its net assets and returns on invested capital. Once material levels of capital are monetized from its portfolio companies, the Group plans to provide a special dividend to shareholders. Management believes that Tekcapital's 2024 performance is a testament to its portfolio companies' strategic positioning and relevance, and represents a good step towards achieving its long-term objective.

Financial performance

Fundraisings during the period

In 2024 we completed share placements totaling US$ 3.6m (2023: US$ 5m), excluding expenses. Proceeds were used primarily to accelerate commercial progress of select portfolio companies and provide additional working capital for the Group.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2024

* May be reclassified to profit or loss in future years.

All comprehensive income as presented above belongs to the owners of the Group.

The notes on pages 28 to 59 are an integral part of these consolidated financial statements.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION AT 31 DECEMBER 2024

The notes on pages 28 to 59 are an integral part of these financial statements.

The financial statements on pages 23 to 59 were approved and authorised for issue by the Board of Directors on 22 May 2025 and were signed on its behalf.