Interregnum blames others’ caution

The UK-listed early stage technology investor has cited a lack of investment support from partners for the difficulties facing its portfolio companies.

Technology focussed VC firm Interregnum has told shareholders that a number of its portfolio companies are in danger due to a lack of funding from external investors.

In a downbeat statement to the London Stock Exchange, the firm said that despite its own continued investment in portfolio businesses, many investors were 'often unwilling or unable to make the necessary follow-on investments – in the main due to their retreat from early stage technology investment'.

Interregnum said that four of its early stage technology investments, Computerwire, Adaptive, OBI and Vocalex were 'at risk' and required short-term funding support. A spokesperson for the firm said investment in early stage companies had fallen sharply 'even in cases where investee companies were generating revenues'.

The short-term difficulty of raising development capital has resulted in Interregnum making a provision of £3.9m for potential write-downs against its existing investment portfolio.

The firm added that difficulties in fund raising had delayed plans for a £75m early stage investment fund, with the consequence that no revenues from fund management fees will be achieved during the current financial year.