On the EDGE

[127tolmers]

Edge I shareholders will find details of their investments under the EDGH ticker.

A quarterly has just been released
http://www.investegate.co.uk/edge-perfo ... 44206991U/

Realisations

In the quarter, the Investment Manager began the process of realising the I Share fund's investments in eight portfolio companies, Black Sheep Music Limited, E7 Live Limited, Grove Music Limited, La Cage Limited, MM Productions Limited, Ramble On Limited, Two Bridges Live Limited, and Ultranation Limited. The realisations are expected to complete during January 2017 and yield an estimated £5,489k in cash, (in addition to £2,105k received by the Company from these investments in prior years), which the Company will use to meet its running costs and dividend obligations.

Valuation of portfolio

Despite the valuations of the core growth portfolio remaining unchanged from those published in the half-yearly financial report, it is worth noting the following:

· During the Period, Intent HQ agreed a multi-million pound deal with a major customer, Telefonica UK;

· During the Period, Coolabi entered into an agreement with the Chinese company Alibaba which has acquired an option to make a feature-length film based on Coolabi's "Warrior" titles. Alibaba subsequently announced that it has agreed with David Heyman (producer of - amongst others - the Harry Potter films) that he will be the producer of the Warriors film at the point at which Alibaba exercises the option; and

· After the Period, Mirriad completed a significant fundraising at an enhanced valuation.

The NAV of 56.18p is confused by the declared buy unpaid dividends on some old classes of share. The previous valuation can be found below.

http://www.investegate.co.uk/edge-perfo ... 27051106K/

The previous half year is here.

https://www.rns-pdf.londonstockexchange ... -10-28.pdf

[Converse]

Lets hope the NAVs are correct especially given the market view via the share price of 29p is discounting them so much. They must be given that the Manager takes their 1.5% AMC (for I share class) and 2.25% AMC for H from the NAV (as well as any performance fee and admin fee of GBP288k). Is that about a GBP1mio per year? The revenue from the portfolio sales "which the Company will use to meet its running costs and dividend obligations" will be needed I guess.

One thing I hadn't realised (though should have) in the share rationalisation last year the number of shares would decrease - just got that corporate action message on HL this week so i hold fewer shares than I thought of the I class.