Looking for Pre IPO ideas, read on. This is the newsletter from Pie Funds and some of the companies they have brought into which should IPO sometime in the near future. I think Complexica could become a market darling being a profitable SAAS business. Copy link below for the full report.

https://microequities.com.au/wp-content/uploads/2021/12/BIPO-Investor-Update-12-2021.pdf?utm_medium=email&utm_campaign=Portfolio%20Update%20-%20Private%20to%20Beyond%20the%20IPO%20Fund&utm_content=Portfolio%20Update%20-%20Private%20to%20Beyond%20the%20IPO%20Fund+CID_6eac8942584bf60657568adad1547755&utm_source=email%20marketing%20tool&utm_term=DECEMBER%202021%20QUARTERLY%20REPORT

December Quarter

Fellow investors,

The December quarter was an exciting quarter for the Fund, with our first IPO in Xpon Technologies, four new private investments and two follow-on investments.

Our portfolio now includes nine private investments, of which five investments were sourced directly from Microequities network and wholesale investors.

We also commenced building our listed investment portfolio with an investment in a high quality business that is currently significantly undervalued by the market and has strong growth prospects.

The Fund is expected to return 5.4%1 (net of fees) for the quarter ending December 2021. This performance was driven by a revaluation of our largest investment, Complexica, following a secondary transaction with a third-party at a 21% premium to our investment price. In addition, our investment in Xpon Technologies was re-valued up by

Key Portfolio Developments

During the quarter we invested in Instantscripts, Medical First Group, OpusXenta and Padua. In addition, we made a further investment in Complexica and followed-on from our pre-IPO investment in Xpon Technologies with an additional investment in the IPO.

Some of the highlights across the portfolio include a strategic investment by Flinders Port Holdings (FPH) in Complexica. This investment and collaboration with FPH will enable Complexica to pursue the development of next-generation software applications for ports globally.

In addition, InstantScripts was ranked #2 on The Australian Financial Review Fast Starters list 2021 and the No #1 SmartCompany for 2021.

Investment Pipeline

We are currently reviewing a strong pipeline of quality opportunities and expect to complete several investments in the next quarter. We look forward to detailing these and other developments across the portfolio in our next quarterly update.

We recognise that our investors have an extensive network and experience across a vast number of industries that could provide a valuable source of deal flow. To the extent that there is a business that you believe could be an appropriate investment for the Fund, please reach out to us using the contact details on the last page of this document.

Fund Currently Soft Closed

The Fund is currently soft closed and is expected to reopen once it is 80% invested. We expect to reopen the Fund in February 2022. Current unit holders will receive entitlement rights to participate. Those who are not currently unit holders of the Fund are encouraged to submit a form and deposit to ensure a spot once the Fund is reopened (click below).

Microequities have announced a record profit of $13.6m for the four months July to October. Its a great result and when their Pre IPO fund starts to generate returns it should bolster these numbers more in the future. Held in my personal portfolio.

ASX Announcement

Market Announcements Office

ASX Limited

20 Bridge Street

Sydney NSW 2000 2 NOVEMBER 2021

MARKET UPDATE – STRONG TRADING PERFOMANCE IN OCTOBER

Microequities Asset Management Group Limited (Microequities or the Company) (ASX:MAM) wishes to provide the following financial update.

A resurgence of M&A activity within our investment funds delivered strong absolute and relative outperformance for the month of October. This strong investment performance boosted our October operating profit from investment management* to approximately $4.8m and the 1H22 year to date operating profit (totalling four operating months) from investment management to approximately $13.6m (based on unaudited management accounts), compared to the half year 1H21 operating of $5.4m (the six month period to 31 December 2020). These figures include a dominant component of income generated from performance fees which are volatile, unpredictable, and non-recurring in nature.

Importantly the investment management team continues to see material undervaluation gaps within many investee constituents within our managed funds, providing potential future wealth creation for our clients.

This announcement has been authorised for release by the Board

* Operating profit from investment management excludes share based payments and revaluation of investments held on the balance sheet.

Announcement of the continuation of their buyback and director buying this week is a vote of confidence that the board continue to believe that the business is undervalued. 

I believe that their Pre IPO growth fund is going to do exceptionally well and have invested in it personally. Its a unique product in the market place and MAM will do very well out of it with performance fees if they are as successful as I beleive they will be. 

Great result for MicroEquities, see below also excellent start to the new year, 

Total profit before tax inclusive of co-invested treasury funds saw Profit Before Tax and minority interest grew by +300% to $19.10m, whilst statutory NPAT increased by +319% to $14.0m.

Microequities Asset Management Group Limited (“Microequities”) NPAT +319%, Operating profit from investment management +257%, Final FY21 dividend increased by 400%

Final FY21 Dividend increased to 5 cents per share