Market's view on TekCapital
Published on April 2024
- Tekcapital’s business model is criticised for not having a clear method to realise the value of its holdings, with failures noted in capitalising on opportunities when portfolio companies like Lucyd, Belluscura, and Microsalt went public.
- There is a significant market value in Tekcapital’s stake in MicroSalt, which has a patented low-sodium salt solution and has secured commercial volume orders from major retailers.
- Concerns are raised about the management of Tekcapital, especially regarding their inability to convert holdings into liquidity, affecting shareholder value negatively.
- MicroSalt’s recent IPO is viewed as successful despite a tough market for new listings, with its innovative product seen as having significant potential for rapid sales growth and profitability.
- Tekcapital is locked into its investment in MicroSalt for 12 months, which restricts immediate financial gains from the holding despite its current market success.