Imperial spinout Touchstone Innovations in bid defence boost

The Imperial College spin-out which turns lab ideas into businesses today revealed the value of its investments have surged 10% over the past year in the latest defence of its hostile takeover.

Touchstone Innovations said its net asset value had risen to £502 million since last July, appearing to validate claims that IP Group’s £466 million all-share offer “fundamentally” undervalues the business.

The value of its portfolio, which comprises 113 companies, jumped to £440 million, up from £335 million last year.

Touchstone, which also has tie-ups with UCL and Oxford and Cambridge universities, said five of its investment companies should increase in value after its financial year ends this month.

One is in the middle of a funding round, two will soon unveil big pharma partnerships, and two are gearing up for trade sales, it said.

“Whilst these revaluations are unlikely to be significant in the context of the group’s portfolio as a whole, the board believes that they would further demonstrate the group’s business model achieving its aim,” Touchstone said.