Kinnevik posts 23 percent improvement in NAV

For the period to September 30, 2020, Kinnevik reported NAV of 107.9 billion Swedish krona or 388 Swedish krona per share, up 20.3 billion Swedish krona or 23 percent in the quarter, adding back paid dividend of 1.9 billion Swedish krona. The company said in a statement that adjusting for the dividends received from Tele2 in early October, its net cash position amounted to 4.2 billion Swedish krona.

“As the world continues to grapple with the Covid-19 pandemic and its severe effects on a growing number of people and countries, the momentum in our digital businesses remained strong in the third quarter. In addition to a good operational development in many of our companies, global equity markets have also increasingly allocated capital into tech stocks, resulting in significant multiple expansion currently supporting our net asset value development,” said Georgi Ganev, CEO of Kinnevik.

Review of Kinnevik’s activities during H1

The company added that highlights of the period include Zalando raising its full-year outlook on the back of exceptionally strong and profitable growth in the third quarter, Livongo and Teladoc announcing the intention to merge their businesses, creating a comprehensive platform for virtual healthcare delivery, Investment in Common, a residential brand and tech-enabled managed rental housing marketplace in the US, first investment in the Nordic healthcare space through an investment in Joint Academy, a Swedish digital health company specialised in the treatment of chronic joint pain.

In the quarter, Kinnevik invested 732 million Swedish krona including 232 million Swedish krona into VillageMD as part of the funding round led by Walgreens Boots Alliance, 184 million Swedish krona into Common, 131 million Swedish krona into Joint Academy and 114 million Swedish krona into Omio, in connection with the company’s convertible loan raise.

The company further said that extra dividend of 1.9 billion Swedish krona from the Zalando selldown was distributed to shareholders during the quarter and it divested 12 percent shareholding in Home24, generating net proceeds of 21 million euros, and completed Qliro Group exit by swapping the residual stake for shares in MatHem.

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