By Alexander Lidgren
By Alexander Lidgren
‘We will be greater than the sum total of our parts, and this is good news for you as a shareholder, us as a company on a mission, and the environment.’
We now go from being an investor-accelerator into being a company saving natural resources through maximizing growth. Loudpsring’s holdings will vary from (the current) minority venture holdings to majority holdings forming the core of our group’s operations in the future. This means that instead of always seeking an exit for a portfolio company, we will also aim to consolidate selected companies into our group. The end result will be some majority ownerships or even wholly-owned business units.
‘we have generated a 11,3x partial exit and we see potential for even higher returns among current holdings.’
We have carefully identified those companies where we see the largest opportunity for growth and are actively looking for opportunities to increase our ownership in those firms. We will look to acquire majorities in companies that are profitable in the short to medium term, and that require relatively limited additional capital injections.
We will continue to invest into current and new firms, and in many cases we will ultimately seek an exit. In our venture portfolio we will accept higher risk, as returns when successful, can be high, as we see in our current portfolio. As we have recently communicated, we have generated a 11,3x partial exit and we see potential for even higher returns among current holdings.
‘We have carefully made this decision moving forward in order to fully capture the financial benefit of what we do we are confident that the time to initiate this change is now.’
This shift in policy and ownerships will over time result in Loudspring becoming an operational company that saves natural resources through revenue growth. Loudspring will no longer be a standard holding company with a portfolio of companies, but an operational company with business units (or daughter companies) as well as a venture investment arm. We will be greater than the sum total of our parts, and this is good news for you as a shareholder, us as a company on a mission, and the environment.
We have carefully made this decision moving forward in order to fully capture the financial benefit of what we do we are confident that the time to initiate this change is now.
The timing of our strategic shift is interesting, to say the least. The last days has seen new warnings on carbon emissions and natural resource depletion. These two articles published recently highlight that our strategic shift is on point and what the world needs from business right now.
We believe there is a transitional change happening across several markets. There are new modes of operating and a shift towards more environmentally-friendly solutions on the markets where our companies operate and are experiencing strong growth.
That’s the short of it, but for us the more important thing is of course how we now execute on our plan to go from a holding company into an industrial company with venture holdings in a way that takes our value to the next level.
We have laid out a plan that we are already implementing and will keep you updated on a regular basis.
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Joshua B. Kirkman