Allied Minds PLC on Wednesday reported a narrowed loss for 2021 as it undertakes a formal strategic review that could lead to a distribution of all assets and cash to shareholders.
Allied Minds is a Boston, Massachusetts-based intellectual property commercialisation company.
It posted a pretax loss of $16.3 million last year, narrowed from $55.5 million in 2020. Research-related expenses were cut to $2.6 million from $4.7 million, and other expenses also were reduced significantly, to $1.3 million from $38.8 million a year ago.
Revenue increased to $1.5 million from $480,000. ‘This increase is primarily attributable to revenue from existing and new contracts in 2021 at BridgeComm,’ the company noted. BridgeComm is a portfolio company of Allied Minds that develops high-speed optical wireless communications.
Back in June of last year, Allied Minds launched a share buyback programme worth up to $3.0 million to redistribute excess capital to shareholders. As of December 31, Allied Minds had repurchased 2.5 million shares for $737,678 as part of that programme.
Allied Minds in March had said that, due to the company’s frustrations with its undervaluation on the stock market, as well as the costs of being a listed entity, it is undertaking a formal strategic review and sale process, which could result in a distribution of assets and cash to shareholders.
The company referred to the strategic review in its statement on Wednesday, but didn’t provide any update on progress.
Allied Minds shares were down 1.2% at 17.10 pence each on Wednesday morning in London. It has a market capitalisation of about £42 million.
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