X
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Oxford Technology is the specialist
in the start-up and early stage technology sector
Tax Shelter Report, Allenbridge
Oxford Technology is the specialist
in the start-up and early stage technology sector
Tax Shelter Report, Allenbridge
Oxford Technology is the specialist
in the start-up and early stage technology sector
Tax Shelter Report, Allenbridge

VCT4

Oxford Technology 4 VCT raised £10.2m in 2005 and has had 2 further top up fundraisings in 2009 and 2010 raising an additional £679k. The Fund is now fully invested.

Net asset value per share was 66.8p as at 29 Feb 2016.

Dividends paid to date are 37p per share resulting from the sale of Dexela, Meciria and Impact.


Portfolio

Abzena

Abzena

Abzena - Investment Information for OT3
Date of First Investment Jan 2012
Total Investment to Date £115,095
Current Value of Holding (as at 29 May 2015) £219,007
% Equity 0.3%
Abzena - Investment Information for OT4
Date of First Investment Jan 2012
Total Investment to Date £42,349
Current Value of Holding (as at 29 May 2015) £81,882
% Equity 0.1%

OT3 and OT4 were originally investors in Warwick Effect Polymers (First invested in Nov 2002) which was acquired by Abzena and which is now a quoted company on the AIM market.


Biopharmaceuticals are an increasingly important class of medicines with over 400 products estimated to be in clinical development and the market expected to increase from US$199.7 billion in 2013 to US$497.9 billion by 2020. Antibody-based products and therapeutic proteins are the two largest and fastest growing segments of this market.


Abzena provides a suite of complementary services and technologies to R&D organisations to improve the chances of successful development of therapeutic proteins and antibodies, and it is therefore poised to capitalise on the growth of the biopharmaceutical market. The Group has significant know-how, supported by a broad patent estate, to enable it to create better biopharmaceuticals for its customers.


Abzena operates a balanced business model with growing revenues from its service business and the potential for significant future growth through royalty bearing licences for the application of its technologies to biopharmaceutical products. The Group’s technologies and services are provided through its wholly-owned subsidiaries, PolyTherics and Antitope.


PolyTherics and Antitope have been developing and offering their technologies and services for over 10 years and their scientists have provided expertise to a wide range of companies, including most of the top 20 biopharmaceutical companies, many large and small public and private biotech, and academic groups, across the world.


The 5 main areas the company works in are:

Immunogenicity assessment

Antibody drug conjugates

Antibody | protein engineering

Optimisation of pharmacokinetics

Cell line development

At 29 May the bid price for Abzena’s shares was 85p per share. Abzena is listed in the FTSE AIM All-Share Index in the Pharmaceuticals & Biotechnology sector. (Code ABZA)


Last Updated: Tuesday, August 18, 2015

Arecor

Arecor

Arecor- Investment Information for OT2
Date of First Investment Jul 2007
Total Investment to date £14,282
Current Value of Holding (as at 31 May 2015) £38,140
% Equity 0.6%
Arecor - Investment Information for OT3
Date of First Investment Jul 2007
Total Investment to Date £23,985
Current Value of Holding (as at 31 May 2015) £46,820
% Equity 0.7%
Arecor - Investment Information for OT4
Date of First Investment Jul 2007
Total Investment to Date £231,198
Current Value of Holding (as at 31 May 2015) £445,375
% Equity 6.4%

In July 2007, Arecor was spun-out as a separate company with all existing shareholders in Insense owning their pro-rata shares in Arecor. Arecor then raised additional capital (OT4 was able to subscribe but OT2 and OT3 did not have the capital with which to do this at the time).

As proteins increasingly dominate the drug development pipelines of major pharmaceutical companies, many are seeking assistance in developing stable formulations. The company has paid feasibility studies with ten of the top twenty pharmaceutical companies to new stable formulations of specific therapeutic proteins and vaccines.

In the spring of 2010, Arecor signed a broad agreement with Genzyme, Inc. under which Arecor will develop stable formulations of Genzyme’s proprietary proteins and license the Arecor technology for an ongoing pipeline of products. In April 2011 Arecor signed license agreements covering two vaccines with GSK Bio.  In December 2011, Arecor reached agreement with the American company Eli Lilly which provides for licenses on formulations of new and existing products.  Currently, Arecor is working on three products under this agreement with the first expected to go to license in the coming year.  A second agreement was signed with Lilly in May 2012 providing for a license on a specific undisclosed marketed molecule.  If the development is successful these agreements can generate very substantial milestone income on each molecule plus ongoing royalties to Arecor.

Arecor has expanded the initial patent portfolio to fifteen patent families covering all the major pathways of protein degradation and improved formulations for specific products.  The Company has recently received official notification of its first patent going to grant.  

Arecor

Last Updated: Tuesday, August 18, 2015

Castleton Technologies

Castleton Technologies- Investment Information for OT4
Current Value of Holding (as at 29 May 2015) £1,090,057
% Equity 3.9%

When Impact Applications was sold to Castleton Technologies, OT4 acquired shares in Castleton as part of that deal. At time of acquisition (29 May 2015), the shares were worth £1.09m.

Last Updated: Tuesday, July 21, 2015

Dexela

Dexela

Dexela - Investment Information for OT4
Date of First Investment Mar 2006
Total Investment to Date £300,000
Total Return on Sale - 2011 £755,384

Dexela was acquired by PerkinElmer Inc. in 2011.

Dexela was formed in 2004 to address critical issues in breast tomosynthesis, a 3D technique for accurate breast cancer screening and diagnostic imaging. Breast tomosynthesis requires an X-ray detector that combines a low dose per image with a rapid sensor frame rate.

In 2007, whilst developing tomosynthesis methods, the company became aware that no detector existed with the required speed and sensitivity for their approach. Upon investigation of other medical and non-medical applications it became clear that such a detector could target both the emerging breast tomosynthesis market and growing markets for real-time and 3D imaging such as fluoroscopy and dental CT. In 2007, Dexela acquired detector developer Aviex LLC to facilitate the development of a novel fast, low noise X-ray detector suitable for breast tomosynthesis and digital mammography (2D breast X-ray) and other applications. In 2009, Dexela launched its family of CMOS X-ray detectors. The products attracted customers in all the target markets from North America, Europe and Asia. Dexela has now been sold to PerkinElmer Inc., a US healthcare technology leader.

Planar Imaging Workstation

Last Updated: Tuesday, April 18, 2015

Diamond Hard Surfaces

Diamond Hard Surfaces

Diamond Hard Surfaces - Investment Information for OT4
Date of First Investment Jan 2005
Total Investment to Date £640,224
Value of Holding (as at 31 May 2015) £384,833
% Equity 49.9%

The purpose of the initial investment was to build an experimental furnace to develop a novel process to produce a diamond coating on a variety of substrates. The results of the initial work were very promising and the company was able to produce a variety of diamond coatings which were: 1) extremely hard (diamond is the hardest natural substance) 2) very low friction (lower than Teflon) 3) thick (up to 60 microns – most diamond coatings are much less thick) 4) applicable to a wide variety of substrates due to low deposition temperature. This combination of qualities is ideal for prolonging the service life of mechanical components which experience high levels of wear and which are also expensive to replace. At the beginning of 2008, the company filed a patent covering its process and secured its first repeat orders for a commercial application in the oil/gas industry. In December 2008, the company raised additional capital and in 2009 opened a production facility with two production chambers based in Caswell, some 30 miles north of Oxford. Diamond Hard Surfaces has made steady progress. The business model is to find customers who are having difficulties with particular mechanical parts which have to work in extreme conditions and which therefore have a relatively short working life. DHS supplies samples for testing and once qualified enters into a funded programme of development/testing with the customer. The customer begins placing regular orders for the supply of these components once testing is completed and the benefits are proven. DHS has development programmes with some 27 companies including with the two largest companies in the world, Apple and Exxon. DHS has 10 separate development with another large US company. However, the testing and development programmes have taken much longer than expected.

In 2013 DHS received its first regular production order. This is for coating sensors which are used down-hole when drilling for oil or gas. DHS now coats a batch of these every month. Also in 2013 DHS won a TSB grant to help develop a production chamber to be used for a specific application which should result is reduced production time and reduced costs.

In summer 2014, DHS had more than ten programmes, mainly with large global companies, in which parts for particular applications were being coated and tested in the field. In some cases the expected production contracts could be worth more than £1m per annum. One of these programmes is for the removal of heat from an electrical circuit. The DHS coating is applied in a low temperature process and the coating can be thick (60+ microns). The DHS coating has the unusual property of being a very good conductor of heat (almost three times as good as copper), but an electrical insulator. So the coating may be applied to an electronic circuit board when it will remove heat from hot components. This is potentially a large application for DHS, and in 2015, this began to be used in certain defence applications and for LED lighting panels.

Sales remain small, but the rate of growth in sales has accelerated in the first half of 2015. The third production chamber was being commissioned during summer 2015 and the company also took on additional production space.

Test sample steel disks

Last Updated: Tuesday, August 18, 2015

Dynamic Extractions

Dynamic Extractions

Dynamic Extractions - Investment Information for OT4
Date of First Investment Aug 2005
Total Investment to date £176,726
Value of Holding (as at 31 May 2015) £113,336
% Equity 23.2%

OT4 has invested a total of £176,726 in Dynamic Extractions Ltd and owns 23.2% of the equity. The chemical reactions which produce pharmaceutical drugs typically produce mixtures of compounds, from which the desired compound must then be separated and purified. Dynamic Extractions (DE) designs and manufactures High Performance Counter Current Chromatography (HPCCC) instruments which, in certain circumstances can greatly increase the throughput and efficiency of this purification/separation step. HPCCC uses a liquid stationary phase, rather than the solid phase used in conventional chromatography. This brings a number of advantages. Dynamic Extractions was formed in 2001 having spun-out from Brunel University, where the patented HPCCC technology was developed. OT4 invested in Aug 2005, when DE moved to purpose built premises in Slough. DE has four sizes of HPCCC instruments, from the Mini, for doing milligram quantities in the laboratory, up to the Maxi, which is for production scale separations. One of the important advantages of HPCCC is that it scales automatically. So what works at small scale will also work at production scale. This is not true of conventional methods. During 2009, DE opened an office/laboratory in the US, the better to serve its US customers. Also in 2009, Dynamic Extractions was awarded a grant from the Technology Strategy Board, as part of a consortium with GSK, Pfizer and Brunel University. These grants are awarded to companies developing technology believed to have strategic importance for the UK economy. HPCCC is potentially a much more efficient method of drug production and the hope is that developing this technology will keep pharma companies in the UK.

However growth in sales has been much slower than originally hoped, but DE has nevertheless survived and has continued to make useful developments in the underlying technology.

During 2014 and 2015 there were significant management changes in the company. The original founder MD left the company and this was accompanied by a change in emphasis. The plan for the future is that DE should place more emphasis on using its technology to offer a separation service for high-value compounds rather than selling HPCCC instruments. To this end, a company is being established in Wales in which DE is a shareholder. It is expected that this company will offer a range of separation and other services and will operate many types of separations using DE HPCCC instruments. These will be fully automated and capable of running unattended 24/7. DE has been operating such a facility at pilot scale since 2014. The centre of operations is expected to move from Slough to Wales, and it is possible that operations in Slough will cease at some point in the future.

Year to Dec Sales (£000s) Gross Profit Net Profit
2011 659 374 (49)
2012 661 445 (75)
2013 1,016 459 (126)

Dynamic Extractions

Last Updated: Tuesday, August 18, 2015

Glide Pharma

Glide Pharma

Glide Pharma - Investment Information for OT3
Date of First Investment Nov 2003
Total Investment to date £224,995
Current Value of Holding (as at 31 May 2015) £813,621
% Equity 3.3%
Glide Pharma - Investment Information for OT4
Date of First Investment Feb 2005
Total Investment to date £975,001
Current Value of Holding (as at 31 May 2015) £1,438,604
% Equity 5.8%

Glide Technologies is a clinical stage technology development company. Glide has developed a novel device and drug delivery technology for the self-administration of injectable therapeutics and the delivery of vaccines in a solid dosage form.

Key manufacturing and preclinical data were generated in 2014 and it is hoped that the first clinical study with octreotide will take place in the first half of 2016. The Glide solid dose injector (‘SDI®’) has undergone successful human factor and surrogate skin injection studies.

The Company is currently working on several new development projects including:

1. Parathyroid hormone (PTH) which requires a daily self-injection and is for treatment of osteoporosis. In November 2012 the UK BioMedical Catalyst (managed jointly by the Medical Research Council and the Technology Strategy Board) awarded Glide £2.3m to support this development.

2. Anthrax vaccine. This is a development with Pfenex Inc, based in California, as a partner with funding from NIAID (National Institute for Allergy and Infectious Diseases) in the US. At present the US government stockpiles anthrax vaccine in liquid form but in the event of a major attack it will be very difficult to inject a large population (New York, say) with needle and syringe. In addition, the vaccine in liquid form only has a shelf life of c18-24 months before it has to be remanufactured. With the Glide SDI, the population may be vaccinated more easily and in solid format the vaccine should have a significantly longer shelf life.

3. Glide flu vaccine. Feasability studies are being undertaken on the use of sold dose flu vaccines.

In parallel to progressing its own product pipeline Glide will be looking to attract new pharmaceutical companies who want to develop proprietary drugs and vaccines in the Glide SDI.

Last Updated: Tuesday, August 18, 2015

Historic Futures

Historic Futures

Historic Futures - Investment Information for OT4
Date of First Investment Aug 2005
Total Investment to date £420,001
Value of Holding (as at 31 May 2015) £31,670
% Equity 6.2%

Historic Futures make it possible for companies to collect and manage value chain data, from primary production to finished product and to communicate good practice to their customers.

Today HF's largest project is a Partnership Agreement with the Forest Stewardship Council (FSC https://ic.fsc.org/) to develop and deliver the Online Claims Platform, or OCP (http://ocp-info.fsc.org/) . This is a tool to check the validity of transactions involving FSC certified materials anywhere in the value chain. There are some 30,000 FSC Certificate Holders who trade billions of dollars worth of certified products across the globe. Version 1 of the OCP is already available for use and HF continues to work closely with FSC to identify improvements as well as new application areas.

Having gained truly unique real-world experience of large traceability and value chain projects over the past few years, the business is currently developing a brand new online service (called String3 (http://www.getstring3.com/)) focused specifically on streamlining the onerous task of collecting reliable information describing the origin of raw materials. HF's experience across textiles, forestry and mining/ minerals indicates that most brands and retailers require better information about origin across a greater proportion of their product portfolio - and that they have no efficient tools to collect and analyse this data today. The project is currently at the prototype stage.

Last Updated: Tuesday, August 18, 2015

Imagineer Systems

Imagineer Systems

Imagineer Systems - Investment Information for OT4
Date of First Investment Jun 2006
Total Investment to date £182,761
Company Sold to Boris FX - Sept. 2014 £398,626

Imagineer Systems Ltd. is a 2002 spin-out from the University of Surreys Centre for Vision, Speech and Signal Processing. The company has developed a series of software tools that enable film and television production companies to complete the post-production steps, immediately prior to releasing a film (or other broadcast media) as well as a series of tools for transforming (2-D) films into 3-D films.

Imagineer’s software allows post production teams to remove cables, wires, even people from film footage, or to insert elements seamlessly, such that they look as if they had been part of the original set or cast. Imagineers software has been used by dozens of post-production companies in Europe and the US, and in high profile films such as Harry Potter, X-Men, Pirates of the Caribbean, Poseidon, Iron Man and Shutter Island.

MirriAd, another investee of Oxford Technology 4 VCT, is a spin-out from Imagineer Systems.

Use of the Mokey tool

Last Updated: Tuesday, August 18, 2015

ImmunoBiology

Immuno Biology

ImmunoBiology- Investment Information for OT2
Date of First Investment Dec 2000
Total Investment to date £175,000
Current Value of Holding £12,352 (as at 31 May 2015)
% Equity 0.3%
ImmunoBiology- Investment Information for OT3
Date of First Investment May 2003
Total Investment to date £250,000
Current Value of Holding (as at 31 May 2015) £187,356
% Equity 3.8%
ImmunoBiology- Investment Information for OT4
Date of First Investment Dec 2000
Total Investment to date £375,000
Current Value of Holding (as at 31 May 2015) £350,386
% Equity 7.2%

ImmunoBiology is developing novel vaccines using a proprietary heat shock protein-complex (HspC) approach. Hsps are an important family of protective proteins that are produced by cells under stress - they were originally observed in cells that had been subjected to a sudden temperature increase, hence the name heat shock protein.

The HspC technology allows the production of vaccines incorporating a range of different antigens from a single pathogen bound to a carrier protein the heat shock protein. ImmBio’s research shows that HspC vaccines are more powerful, longer lasting and potentially provide broader protection against multiple strains of a particular pathogen than existing vaccines.

The influenza virus

Last Updated: Tuesday, August 18, 2015

Impact Applications

Impact Applications

Impact Applications- Investment Information for OT4
Date of First Investment Oct 2005
Total Investment to date £486,283
Total Return on Sale - May 2015 £2,675,000

OT4 first invested in Impact Applications in October 2005, and made several further investments to obtain 49% of the company.

Impact provides software to local authorities, housing associations and their contractors which enables them to manage the tradesmen who maintain and repair their housing stock. One of Impact's clients is a large local authority with 44,000 council houses, and managing the repair and maintenance of all these houses is a major business in its own right. In June 2009, the Council began using Impact's flagship product, ImpactRESPONSE for management of repairs undertaken by its in-house contractor, which is responsible for just over 20,000 houses and which require some 3,000 repairs each week.

When a tenant phones to say that a repair is required, ImpactRESPONSE immediately schedules the repair with the appropriate tradesman and sends a text message to the tenant saying when the repair will be done. Each tradesman is issued with his own mobile device (PDA) on which they can then view the job details. For example, "Your first job on Monday morning is to repair three broken windows at 10 Acacia Avenue. You already have two panes of glass on your van – collect another pane from stores en route. Mrs Jones is expecting you in the morning and the repair should take 1h30m (Mrs Jones will have been sent a text message telling her to expect her repairman to arrive between 8am and 12noon.)" When he completes the job, he can record the materials used, collect a signature on the screen, and instantly report that the job has been finished. There is no paperwork at any stage, and the invoice to the appropriate department can be issued immediately. The tradesman receives details of his next job on his PDA and he can also send a text message to the tenant with his expected arrival time. If he is running late he can update the tenant with a new expected arrival time, and the staff in the back office can see the current status of all jobs in real time. Often this latter feature has had a dramatic effect when ImpactRESPONSE goes live for the first time in a new application; tradesmen who previously filled in fictitious times were exposed.

Impact has grown steadily but not yet dramatically, and has encountered and had to overcome many problems associated with growth along the way.

Year to 31 Aug Sales (£000s) Gross Profit Net Profit
2010 577 250 37
2011 1,072 523 101
2012 1,371 679 135
2013 1,327 625 80
2014 2,002 980 265

Impact was sold to Castleton Technologies Plc. OT4 recieved £1.585m in cash, and £1.09m in shares in Castleton from the sale.

Last Updated: Tuesday, August 18, 2015

Insense

Insense

Insense - Investment Information for OT2
Date of First Investment Jun 2001
Total Investment to date £204,259
Value of Holding (As at 31 May 2015) £37,927
% Equity 3.5 %
Insense - Investment Information for OT3
Date of First Investment May 2003
Total Investment to date £316,894
Value of Holding (As at 31 May 2015) £43,868
% Equity 4.1 %
Insense - Investment Information for OT4
Date of First Investment May 2003
Total Investment to date £457,306
Value of Holding (As at 31 May 2015) £48,488
% Equity 4.5 %

Insense Ltd is a spin-out from Unilever and has developed a range of active dressings, which can be applied to the skin to treat a variety of conditions. The essence of the technology is that the the dressings consist of two (or more) parts which are then brought together on the skin when the dressing is applied. The parts then react to produce a chemical (s) which is slowly released over a period of hours or days and this chemical then actively helps the condition.

Insense

The first products were for wound-healing. Insense produced two dressings, Iodozyme and OxyZyme. The first was for infecxted wounds produced a steady flux of Iodine and oxygen at the wound surface. The Iodine reduced or elimianted the infection and the Oxygen promoted natural healing processes. OxyZyme was for non-infected wounds and produced a steady flux of wound-healing Oxygen at the wound surface. (The best treatment for wounds is to leave them open to the air. But the problem with this is that the wounds can become infected. Oxyzyme allows the wound to be bathed in a flux of Oxygen while also allowing the wound to be covered to keep out infections.)

Insense sold these products for several years to the NHS, but did not itself have the marketing organisation necessary to achieve more than a small volume of sales and Insense did not reach breakeven on these sales. In 2012 the rights to the manufacture and marketing of these dressings were sold to Crawford Medical. Insense received an up-front payment which will be followed by further payments based on performance.

In order to sterilise the Insense dressings after manufacture, Professor Davis had to develop a method of stabilising the proteins so that they would withstand ionising radiation. Having done this, it transpired that many pharma companies were interested in using this technology for their own protein-based products. This led to the spin-out of Arecor. All the shareholders in Insense received the same % of shares in Arecor which then raised capital to fund its own expansion. Arecor achieved sales of £860,000 in the year to May 2013, and sales increased during the year to May 2014.

Insense has developed treatments for a number of skin conditions. Insense is considering how best to exploit these opportunities. One method is by partnering with or licensing to larger companies who are already established in these markets.

Last Updated: Tuesday, August 18, 2015

Meciria

Meciria- Investment Information for OT4
Date of First Investment Feb 2006
Total Investment to date £516,000
Total Return on Sale £2,200,000

In February 2006 OT4 made an initial investment of £100,000 in Meciria, a start-up company founded by Richard Hutton, which sought to develop a rotary steerable drilling tool for use in the oil and gas industry. The company designed and built a prototype drill which began a series of tests. OT4 and later OTECF were actively involved with the company In 2008 Oxford Technology Enterprise Capital Fund invested in Meciria to take the company forward. OT4 made small co-investments, but by this time had limited cash remaining. Modifications/improvements to the tool were made and by December 2011, OT4 VCT's total investment was £516k and OTECF had invested £1.5m. In February 2012 Meciria was sold and OT4 VCT received an initial payment of £2.2m and OTECF £9.4m. This investment illustrates the importance of being able to invest in a start-up company over several years as it grows and develops.

Richard Hutton - Inventor of Meciria IDT tool

Last Updated: Tuesday, April 18, 2015

Metal Nanopowders

Metal Nanopowders- Investment Information for OT3
Date of First Investment Nov 2002
Total Investment to date £152,864
Current Value of Holding (as at 31 May 2015) £12,864
% Equity 20%
Metal Nanopowders- Investment Information for OT4
Date of First Investment Aug 2006
Total Investment to date £52,273
Current Value of Holding (as at 31 May 2015) £10,606
% Equity 16.7%

Metal Nanopowders

Metal Nanopowders is a spin-out from Birmingham University, and was established to commercialise a process invented by Dr Isaac Chang for making very fine metal powders with diameters less than 100 nanometers. The purpose of the investment was to build a machine which is capable  of producing kilogram quantities of these powders. After the investment the company hired its first employee whose first task was to automate the production at lab scale, and then to design and build the kg scale production machine. Dr Chang has retained his academic position but is a director of the company, and is actively involved in its development.

Following the investment, it proved more difficult than expected to automate the process at lab scale, and it has transpired that it is much more difficult to make some powders than others. It proved necessary to go back to basics and to try to understand more about the fundamental physics of the process. The original engineer left, and a PhD student Lucian Faulticeanu became involved. Good progress was made and the company is now able to produce larger quantities of nanopowders reliably. Samples of many powders were made for a variety of customers with a variety of potential applications. If one of the applications leads top a commercial product then Metal nanopowders would scale up to produce tons and the business would become viable. In 2010 the business was scaled back with the founder, who continues  with his academic job at Birmingham university being the sole employee, sometimes assisted by a PhD student. During 2010 the company received a grant to make samples of a specialist nanopowder for a defence application. At the time of writing the first of these samples is being evaluated. In 2012, the company was involved in 7.8M Euros EU-FP7 NMP project entitled “Better Upscaling and Optimization of Nanoparticle and Nanostructure Production by Means of Electrical Discharges (BUONAPART-E)” to develop and demonstrate large scale production of nanoparticles at a rate of 1Kg/day.

Dr Chang & Lucian Falticeanu

Last Updated: Tuesday, August 18, 2015

MirriAd Advertising

mirriad

MirriAd- Investment Information for OT4
Date of First Investment Feb 2005
Total Investment to date £769,590
Current Value of Holding (as at 31 May 2015) £14,989
% Equity 0.4%

MirriAd was spun out from another Oxford Technology 4 VCT investee, Imagineer Systems, in 2006. In May 2015 MirriAd's assets were purchased by Broadwall Acquisitions Ltd, subsequently renamed MirriAd Advertising Ltd. OT4 recieved shares in MirriAd Advertising as part of the acquisition.

MirriAd is able to deliver Embedded Advertising into video streams, ranging from user generated content, such as on YouTube and MySpace, to studio and broadcast quality productions, such as Casino Royale or Pop Idol. This capability allows real time ‘In-Video Advertising’, where branded products for instance, Coke cans, advertising hoardings, or even cars can be placed into video streams, appearing to the viewer as if they were there on the original film set. This means, for example, television game shows could be regionalised by inserting different branded products into multiple variations of a single show for example, Pepsi into one version of Pop Idol, for broadcast in the US, and 7 Up into another, for transmission in Europe. Popular clips on YouTube could be monetised by inserting branded objects or images into the background with the particular brand automatically selected according to the demographic of the individual downloader.

Product placement of Vans advert

Last Updated: Tuesday, August 18, 2015

Novacta Biosystems

novacta

Novacta Biosystems- Investment Information for OT4
Date of First Investment Apr 2005
Total Investment to date £346,610
Current Value of Holding (as at 31 May 2015) £63,471
% Equity 2.4%

Novacta Biosystems Ltd was founded in 2003 to discover and develop novel pharmaceuticals with a particular focus on infectious disease. OT4 first invested in Novacta in 2005 although since then the company has been restructured.  ‘Novacta’ is now comprised of four separate companies: a parent company (Novacta Holdings Ltd), and three separate intellectual property holding companies. References to Novacta here refer to OT4’s combined holding in all four companies.  The company uses proprietary microbial technologies and enzymes (biotransformation and pathway engineering) to make subtle modifications to complex drugs to optimise their properties such as selectivity, potency and toxicity.   Novacta’s lead programmes are centred around a class of small peptide molecules called lantibiotics, a drug class that until now has been underexploited due to the lack of adequate research tools. Its lead programme, a molecule to address the increasing clinical problems with the ‘superbug’ Clostridium difficile (“C.diff”), has generated extremely good data from pre clinical trials and is now in Phase 1 clinical trial.

Last Updated: Tuesday, August 18, 2015

Orthogem

Orthogem

 Orthogem - Investment Information for OT2
Date of First Investment Dec 2000
Total Investment to Date £303,937
Current Value of Holding (as at 31 May 2015) £62,475
% Equity 7.3%
Orthogem - Investment Information for OT3
Date of First Investment Dec 2004
Total Investment to Date £113,999
Current Value of Holding (as at 31 May 2015) £21,831
% Equity 2.5%
Orthogem - Investment Information for OT4
Date of First Investment May 2007
Total Investment to Date £114,915
Current Value of Holding (as at 31 May 2015) £14,646
% Equity 1.7%

Orthogem has developed a method for producing a biocompatible, artificial bone graft called TriPore to replace the use of autograft - the patients own bone, allograft - cadaver bone, or xenograft animal bone.

Over the last decade, great efforts have been extended to producing human bone substitutes and with recent horror stories about bones being surreptitiously removed from bodies in morgues and sold into the medical device market, the search for an artificial replacement becomes more urgent.

TriPore blocks and TriPore granules were CE marked in 2006, and approval by the United States FDA was received in 2007.

Last Updated: Tuesday, August 18, 2015

Oxis Energy

Oxis Energy

Oxis Energy - Investment Information for OT2
Date of First Investment Nov 2000
Total Investment to Date £540,270
Current Value of Holding (as at 31 May 2015) £22,308
% Equity 0.3%
Oxis Energy - Investment Information for OT4
Date of First Investment Nov 2005
Total Investment to Date £305,330
Current Value of Holding (as at 31 May 2015) £151,507
 % Equity 0.3%

Oxis Energy is developing a rechargeable battery with the following exceptional properties:

- Extremely high specific energy density 1.5-2x existing best rechargeable battery

- Wide temperature of operation 0°C to 125°C

- Inherent safety - no control electronics

These properties represent a step change in performance versus existing rechargeable battery technologies and for some markets they will be a key enabling technology, for example, the energy weight ratio specific energy density is pivotal in electric vehicles because the weight of the battery is a significant part of the total vehicle weight.

Commercially, the company is currently focused on three key markets, down-hole oil/gas tools, electric vehicles and power tools. The oil/gas industry currently spends in excess of $100m/year in primary batteries (one time use) in downhole tools.

Oxis ability to operate in a high temperature range and its inherent tolerance to high charge/discharge are critical advantages ' and of course there is significant value because one rechargeable cell has the potential to replace up to 30 primary cells.

The Oxis Team

Last Updated: Tuesday, August 18, 2015

OxTox

OxTox

OxTox - Investment Information for OT4
Date of First Investment Dec 2006
Total Investment to Date £262,049
Current Value of Holding (as at 31 May 2015) £159,093
% Equity 4.9%

OxTox is a spin-out from Oxford University’s Department of Chemistry. The company is developing an electrochemical approach to measuring drugs of abuse in saliva, with an initial focus on cannabis and methampetamines.  The product is called DrugSensor.

Just as a 'breathalyser' measures how much alcohol a person currently has in their system, so Drugsensor measures the amount of 'drugs of impairment' such as cannabis and the varieties of amphetamine, by rapidly analysing a small sample of saliva. The product is rapid (testing takes around 30 seconds), accurate, and easy to use (both for the person taking the test, and the person administering the test).

Existing roadside technologies have not been adopted widely because they are based on immunoassay technology (ELISA tests) and so are relatively slow (many minutes from sample collection to readout), and cumbersome (have multiple steps and require the mixing of solutions). With tests being used by roadside police, tests need to be simple and readout in less than a minute.

Last Updated: Tuesday, August 18, 2015

Pharma Engineering

Pharma Engineering

Pharma Engineering - Investment Information for OT4
Date of First Investment Feb 2007
Total Investment to Date £63,999
Total Return on Sale - Nov 2013 £500,000

OT4 invested in Pharma Engineering when the company was formed as a phoenix from an earlier company. The total investment grew to £64,000 and OT4 owned 46% of the equity. In Nov 2013 the shareholding was sold to the founders for £500,000 to be paid over a three year period.

The company designs and manufactures specialist equipment for the pharmaceutical industry. Its first product was a machine for deblistering pharmaceutical tablets. The production of pharmaceutical tablets is highly regulated and once a manufacturing procedure is agreed by the regulator, then it must be followed rigidly. In most cases today, tablets are produced in blister packs. However, in many instances, large numbers of unblistered tablets are required. For example, some care homes have their tablets delivered in the form in which they will be used by the patients. So Mrs Jones will take six tablets of different medicines in the morning, 5 tablets in the afternoon and 7 in the evening. These tablets will arrive in small pots, each labelled appropriately eg "Mrs Jones' tablets; for use at 10am Tuesday 3 March." So in these cases the care home or hospital will receive a weekly delivery of all the tablets required for all the patients, all in small pots. In order to make up these pots the pharmacy has to deblister each of the thousands of pills involved. The deblistered tablets are then placed in the hoppers of a machine which then makes up the individual prescriptions. The economics are such that it makes sense to have a machine which deblisters the tablets automatically. Pharma Engineering manufactures and supplies deblistering machines which do this task. The machine not only deblisters the tablets but also ensures that all the small pieces of foil are removed.

The customers for these machines are large pharmacies and also the pharmaceutical companies themselves. This is because things sometimes go wrong with the manufacturing process – the wrong tablets in the wrong packaging, a bad batch of tablets. When this happens the pharmaceutical company may need to deblister millions of tablets, and it makes sound economic sense to do this by machine. During 2010, the company delivered the first prototype of a machine which automatically extracts blister packs of tablets from the packaging (normally a cardboard box) in which they arrive. This is quite a complicated machine since it has to be able to deal with such a large variety of sizes and shapes.

Pharma Engineering made good financial progress. Sales increased from £597k in the year to Dec 2010 to £836k in the year to Dec 2011 and to more than £900,000 in the year to Dec 2012. In Nov 2013 the sale of OT4’s shareholding was agreed.

Pharma Engineering

Last Updated: Tuesday, August 18, 2015

Plasma Antennas

Plasma Antennas

Plasma Antennas - Investment Information for OT2
Date of First Investment Nov 2001
Total Investment to Date £187,550
Current Value of Holding (as at 31 May 2015) £188,856
% Equity 8.3%
Plasma Antennas - Investment Information for OT3
Date of First Investment Sep 2004
Total Investment to Date £108,057
Current Value of Holding (as at 31 May 2015) £108,956
% Equity 5.3%
Plasma Antennas - Investment Information for OT4
Date of First Investment Mar 2005
Total Investment to Date £447,562
Current Value of Holding (as at 31 May 2015) £576,694
% Equity 24.9%

Plasma Antennas has developed a range of next-generation smart selectable multi-beam antenna technologies for small cell backhaul, broadband wireless access, mesh network and other communications and sensing applications. Based on a set of patented beamforming technologies, these high-performance electronically-steerable antennas are extremely lightweight and compact.

Plasma Antennas

The company is at a very interesting point in its development. Having specialised in very high-end antennas (at up to £50,000 each) for military applications, it is now attracting a great deal of interest from mobile phone operators and trials are in progress with BliNQ, Vodafone and Airspan. The company is valued at the last fundraising share price of 45p per share. OT2 also has a loan of £13,000.

Last Updated: Thursday, August 20, 2015

Select Technology Ltd

www.selectec.co.uk

Select Technology- Investment Information for OT1
Date of First Investment Sep 1999
Total Investment to date £488,224
Current Value of Holding (as at 31 May 2015) £1,198,306
% Equity 30.0%
Select Technology- Investment Information for OT2
Date of First Investment Nov 2001
Total Investment to date £132,000
Current Value of Holding (as at 31 May 2015) £296,384
% Equity 7.4%
Select Technology- Investment Information for OT3
Date of First Investment Nov 2004
Total Investment to date £47,051
Current Value of Holding (as at 31 May 2015) £112,307
% Equity 2.8%
Select Technology- Investment Information for OT4
Date of First Investment Aug 2006
Total Investment to date £236,703
Current Value of Holding (as at 31 May 2015) £734,226
% Equity 18.4%

Select Technology specialises in software for photocopiers (now known as MFDs – Multi-function devices – since they scan, fax, email and do other other tasks in addition to photocopying). There are two strands to the business: (1) writing software which sits at the heart of MFDs and which greatly improve the user experience, enabling users to access all software programs to which they are entitled with a single sign on, and giving these programs the same ‘look and feel’, and (2) software distribution: Select is the European master-distributor for PaperCut, a world-leading print-management software product.

As with computers in the 1980s, MFD hardware has become a commodity product with little to choose between the offerings of most companies. Increasingly, what makes customers choose one make in preference to another is the quality and ease of use of the many software programs which run on them. Most MFDs will be on networks, so that, for example, a user may scan a document in London and print it out in New York and Tokyo. The accounting software will need to determine how the cost of this is allocated. Different users will have different usage rights to the software. The MFDs will need to identify users and some will use cards, other PIN numbers, and other biometric scans. Getting everything to work together, and giving everyone a good user experience is non-trivial, which is why there is a need for Select, which has specialised in this area for many years. It has taken a long time, but Select’s financial performance is now improving and sales are increasing.

Payment system at Cardiff University

Last Updated: Tuesday, August 18, 2015

Superhard Materials

Superhard Materials- Investment Information for OT3
Date of First Investment Feb 2012
Total Investment to date £10,909
Current Value of Holding (as at 31 May 2015) £10,909
% Equity 21.8%
Superhard Materials- Investment Information for OT4
Date of First Investment Feb 2012
Total Investment to date £9,091
Current Value of Holding (as at 31 May 2015) £9,091
% Equity 18.2%

In early 2012, Lucian Falticeanu, who was employed by Metal Nanopowders discovered a method of treating certain powders to produce a material which is super hard. (Hardness > 45 Gpa – believed to be harder than anything except diamond itself). The powder may be pressed into a shape which is then sintered at very high temperature to produce the end product. This may be electrically machined and also polished if necessary. It is believed that this may have several applications. A new company, Superhard Materials Ltd has been established in which Lucian has a 40% shareholding, to take this forward. The rights to this material, now called Superduride, have been licensed to Precision Ceramics Ltd in Birmingham. Lucian has also joined Precision Ceramics as Technical Director. Precision Ceramics will pay all the costs of manufacture and marketing of Superduride, and Superhard Materials will receive a share of the gross margin on sales.

The first samples have now been supplied to potential customers, and trials should start soon. No orders have been received yet.

Last Updated: Tuesday, August 18, 2015

Telegesis

Telegesis

Telegesis - Investment Information for OT2
Date of First Investment Dec 2003
Total Investment to Date £7,824
Total return on holding - 2015 £355,000
Telegesis - Investment Information for OT3
Date of First Investment Oct 2003
Total Investment to Date £147,019
Total return on holding - 2015 £3,330,000
Telegesis - Investment Information for OT4
Date of First Investment Dec 2005
Total Investment to Date £230,520
Total return on holding - 2015 £1,620,000

Telegesis designs, manufactures and supplies Zigbee modules. Zigbee is a communications protocol, in the same way that Bluetooth is a communications protocol. Bluetooth is for sending large volumes of data over short distances and is power hungry. Zigbee is for sending small amounts of data over larger distances with very low power consumption. Each Zigbee device can communicate with up to 64,000 other devices up to 1km apart, and the devices automatically configure themselves into a mesh network, with the data hopping from node to node.

The company has been making very good progress with increasing sales year on year and an expanding customer base all over the world.

Telegesis has joined Thread, a home automation group founded by Google. The objective is to be able to automate everything in the home, using the internet of things. If Zigbee becomes the protocol, then Telegesis will be well-placed to benefit.

Telegesis was acquired by Silicon Laboratories UK Ltd on 20 Nov 2015.

The new Zigbee modules

Last Updated: Tuesday, August 18, 2015

Share Price Information and RNS Announcements

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