Molten Ventures has achieved a notable 7x return following its divestment from M-Files, a document management firm.
- This successful exit has increased Molten Ventures’ total realisations to £124 million for the financial year.
- The company’s shares experienced a slight rise of over 1% after the announcement.
- Molten Ventures initially invested in M-Files in 2013 and continued to support the company through subsequent funding rounds.
- The firm cites the quality of its portfolio and strategic valuation approach as factors in their success.
Molten Ventures, a venture capital firm based in London and Dublin, has successfully exited its investment in M-Files, yielding a return of over seven times the initial investment. This exit contributes to the firm’s total realisations of £124 million for the current financial year, surpassing prior guidance by 25%. Following the announcement, Molten Ventures’ shares saw a modest increase of over 1%.
Chief Executive Ben Wilkinson expressed satisfaction with the performance, highlighting the firm’s achievement of exceeding financial expectations through realisations completed at or above holding value. The positive outcomes underscore the quality and strategic valuation of its investment portfolio.
The firm first invested in M-Files in 2013 during a Series A round worth €6 million (£5 million). It continued to back M-Files in its €33 million Series B round in 2016 and €67 million Series C round in 2021. M-Files, known for facilitating automated document creation and workflow management, has integrated generative AI to allow complex question responses via its digital assistant.
Wilkinson mentioned that while the current realisations have surpassed initial expectations, there remains potential for further, albeit smaller, exits. The firm is focused on active portfolio management and aims to sustain strong returns for investors. This successful exit exemplifies their prudent investment strategy and forward-looking approach.
Established in 2006, Molten Ventures has solidified its position as a leading venture capital entity in London. Among its portfolio are significant investments in companies such as Trustpilot, N26, and Revolut. The acquisition of Forward Partners earlier this year, along with the revaluation of its Revolut stake, underscores its dynamic investment activities.
The substantial return from the M-Files exit is a testament to Molten Ventures’ strategic investment approach and robust portfolio management.
