Company Commentary:
- As at
December 31, 2023 , Book Value per Share (BVpS) of the Company was$10.91 , compared with$11.30 as atSeptember 30, 2023 .- During Q4, currency fluctuations resulted in a
$0.19 drag to BVpS. As of today, the US dollar has recovered, thereby reversing the$0.19 decrease in BVpS.
- During Q4, currency fluctuations resulted in a
Stack Capital increased its exposure to Locus Robotics through a share-swap transaction issuing 273,501Stack Capital common shares, at$11.30 per share, which closed onMarch 4, 2024 .- The Company’s cash position as at
December 31, 2023 , was$25.1 million or$2.80 per share. - To date, the Company has completed eight investments contributing
$8.13 per share as atDecember 31, 2023 , into the following:SpaceX (space exploration & communications)Omio, Inc. (travel & leisure)Hopper, Inc. (travel & leisure)Locus Robotics, Inc. (robotics)Newfront Insurance, Inc. (insurance & benefits)Prove Identity, Inc. (cyber-security)Bolt Financial, Inc. (e-commerce)Varo Money, Inc. (neo-banking)
- During Q4-2022, the Company announced a normal course issuer bid to buy back its outstanding common shares which it believes to be undervalued. During 2023, 201,900 common shares were repurchased at an average price of
$6.49 per share. - During 2023, the Company invested additional capital into Omio, an existing portfolio company. This subsequent Omio investment is already up 40% from the purchase date.
“I believe that this is one of the most exciting times to invest in growth and late-stage private markets, and Stack is ready to capitalize given its advantageous cash position of
Q4-2023 Highlights
- As at
December 31, 2023 , the Book Value of the Company was$97.7 million , and the Book Value per Share was$10.91 . A detailed summary of Book Value per Share is as follows:
Breakdown of Book Value per Share as at | |||
Cash | $ | 2.80 | |
Investment – | 1.34 | ||
Investment – | 1.22 | ||
Investment – | 1.19 | ||
Investment – | 1.18 | ||
Investment – | 1.18 | ||
Investment – | 1.13 | ||
Investment – | 0.55 | ||
Investment – | 0.33 | ||
Net other assets | (0.01 | ) | |
Book Value per Share | $ | 10.91 |
i the Company invested in units of
ii the Company invested in shares of
iii the fair value of
SpaceX achieved a valuation of$180 billion from a secondary tender offer run bySpaceX resulting in an increase in Stack Capital’s Book Value per Share by$0.19 .Stack Capital adjusted Bolt Financials’ valuation down by$0.34 for the year endedDecember 31, 2023 due to recently updated financial information provided by Bolt Financial.- Prove raised
$40 million from MassMutual and Capital One in its latest series of funding to focus on the next phase of growth. - Stack Capital’s investment in a secondary transaction of Omio resulted in a Book Value per Share increase of
$0.08 during Q4-2024, illustrating Stack’s ability to acquire shares at an attractive price. - Given
Stack Capital has the majority of its assets in US dollars, the Company experienced a decrease in its Book Value per Share of$0.19 in Q4-2023 due to the weakened US dollar. Since year-end, the US dollar has strengthened; as such, as of today,Stack Capital has recovered more than$0.19 in BVpS.
About
For more information, please visit our website at www.stackcapitalgroup.com or contact:
VP, Corporate Development, and Investor Relations
647.280.3307
brian@stackcapitalgroup.com
Non-IFRS Financial Measures
This press release may make reference to the following financial measures which are not recognized under International Financial Reporting Standards (“IFRS”), and which do not have a standard meaning prescribed by IFRS:
- Book Value - the aggregate fair value of the assets of the Company on the referenced date, less the aggregate carrying value of the liabilities, excluding any deferred taxes or unrealized deferred gains or losses if applicable, of the Company; and
- Book Value per Share (BVpS) - the Book Value on the referenced day divided by the aggregate number of Common Shares that are outstanding on such day.
The Company’s Book Value and Book Value per Share is a measure of the performance of the Company as a whole. The Company’s method of determining this financial measure may differ from other issuers’ methods and, accordingly, this amount may not be comparable to measures used by other issuers. This financial measure is not a performance measure as defined under IFRS and should not be considered either in isolation of, or as a substitute for, net earnings per share prepared in accordance with IFRS.
Cautionary Note Regarding Forward-Looking Information
This press release contains forward-looking information. Such forward-looking statements or information are provided for the purpose of providing information about management’s current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes. Any such forward-looking information may be identified by words such as “proposed”, “expects”, “intends”, “may”, “will”, and similar expressions. Forward-looking information contained or referred to in this press release includes, but may not be limited to the business of
Forward-looking statements or information are based on a number of factors and assumptions which have been used to develop such statements and information, but which may prove to be incorrect. Although
Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws,
Source:
2024 GlobeNewswire, Inc., source