o2h Ventures Portfolio Companies Update - o2h Ventures

Don’t invest unless you’re prepared to lose all your money invested. This is a high risk investment. You could lose all the money you invest and are unlikely to be protected if something goes wrong. Take 2 mins to learn more

Sep 26 2022

In the post budget (S)EIS euphoria, we are excited to share some of the results from our recent survey from all of our 28 portfolio companies. The results are exciting given the size and longevity of our tax-efficient funds!

Our portfolio companies have together raised more than £230 million since their inception. Given the quanta we have invested in these companies, this demonstrates the interest that UK biotech companies generate globally.

Startups iin their early stages have the ability to expand employment opportunities and add new jobs to the economy. We are pleased to report that our portfolio companies have generated 425 or more job opportunities, and that is just the beginning!

50% of the companies in our portfolio are led by females by being either Founders, CEO’s or Chairs. The big kudos for this to these founders/entrepreneurs as this was not prescribed or contrived in any way by our Fund as all our investments are made purely on scientific/business merit.

We take great pride in announcing that 9 of our portfolio companies’ drug discoveries or related services will directly benefit patients in less than years, the other 9 in 3 to 7 years, and the remaining 8 companies within the next decade.

We are very proud of the impact that our portfolio companies have and the credit for this is to our hardworking, sometimes crazy founders/entrepreneurs. A big thank you from o2h Ventures!.

If you would like to know more about the funds, we can also arrange a call and provide further information, just send a short note to invest@o2h.com and we will schedule a call accordingly.

Our HMRC approved KI fund will close on October 31, 2022.

more articles by Prashant Shah

Early-Stage Biotech Investing in the UK through the lens of o2h Ventures 15 Feb 2023
o2h Ventures Portfolio Companies Update 26 Sep 2022
o2h Ventures qualifies as a FINALIST in the Growth Investor Awards 2022 06 Sep 2022

Due to the potential for losses, the Financial Conduct Authority (FCA) considers this investment to be high risk

What are the key risks?

• If the business you invest in fails, you are likely to lose 100% of the money you invest. Most start-up businesses fail.

2 – You are unlikely to be protected if something goes wrong

• Protection from the Financial Services Compensation Scheme (FSCS), in relation to claims against failed regulated firms, does not cover poor investment performance. Try the FSCS investment protection checker here. (https://www.fscs.org.uk/check/investment-protection-checker)

• Protection from the Financial Ombudsman Service (FOS) does not cover poor investment performance. If you have a complaint against an FCA-regulated firm, FOS may be able to consider it. Learn more about FOS protection here. (https://www.financial-ombudsman.org.uk/consumers)

3 – You won’t get your money back quickly

• Even if the business you invest in is successful, it may take several years to get your money back. You are unlikely to be able to sell your investment early.

• The most likely way to get your money back is if the business is bought by another business or lists its shares on an exchange such as the London Stock Exchange. These events are not common.

• If you are investing in a start-up business, you should not expect to get your money back through dividends. Start-up businesses rarely pay these.

4 – Don’t put all your eggs in one basket

• Putting all your money into a single business or type of investment for example, is risky. Spreading your money across different investments makes you less dependent on any one to do well.

• A good rule of thumb is not to invest more than 10% of your money in high-risk investments (https://www.fca.org.uk/investsmart/5-questions-ask-you-invest)

5 – The value of your investment can be reduced

• The percentage of the business that you own will decrease if the business issues more shares. This could mean that the value of your investment reduces, depending on how much the business grows. Most start-up businesses issue multiple rounds of shares.

• These new shares could have addition rights that your shares don’t have, such as the right to receive a fixed dividend, which could further reduce your chances of getting a return on your investment.

If you are interested in learning more about how to protect yourself, visit the FCA’s website here (https://www.fca.org.uk/investsmart)