b"Mercia asset Management PLc31Annual Report and Accounts 20214 In March we announced Mercias largestAt the end of the period, we had exit to date from OXGENE that was soldc.314million of liquidity across all our to international Life Sciences group WuXifunds and proprietary capital. App Tec. Mercia held a 32.1% direct holding in OXGENE and received cashA total of seven profitable exits were Direct investmentproceeds of 30.7million. The salecompleted in the year, delivering a total of resulted in a realised gain of 18.0million66.0million in returns to fund investors. exits above OXGENEs 12.7million direct investment holding value at the date ofMercias debt funds team saw a significant sale. The sale generated a c.5x return onuplift in enquiries in the year completing Medherant, the transdermal drug- Mercias direct investment cost and a70 transactions (2020: 46) and investing a delivery company secured anc.51% IRR. The sale also generatedtotal of 16.8million, of which 13.7million additional large pharma evaluationreturns of between c.13x and c.20xwas provided to 48 new businesses. The agreement and completed a syndicatedreturn on Mercias EIS managed fundGroup announced an extension of its investment round of 2.8million investment costs Northern Powerhouse Investment Fund Intechnicas e-commerce consultancyWe also exited Crowd Reactive through(NPIF) debt mandate, which wasStrategic reportbusiness had a record year, and itsa partial repayment of our investment,increased by a further 30.6million and Netacea bot management businessrealising the holding value of 0.2millionMercias SME Loans Fund was launched in continues to attract excellent reviews,as the pandemic brutally curtailed allmid-September, providing up to a further blue-chip customers and increase itsactivity in the events sector. 45.0million to lend over five years. This recurring revenue fund is backed by the Greater ManchesterGovernance Financial statementsSoccer Manager, now in our top 10,naV growth across our funds led byPension Fund.benefited from new investment andthe northern Vctsfocus showing c.40% revenue growthOur managed funds as at 31 March 2021Our Northern Venture Capital Trusts from its mobile football games andtotalled c.764million. In the year, we(VCT) showed NAV reductions of c.22% expects further growth from the launchinvested 79.0million in 173 businesses,at March 2020, however this has now more of the 2022 season game. including 76 new companies. Our third- than fully recovered, driven in large part party managed funds have all shown goodby exits from Agilitas, Its All Good andexits performance in the second-half of thethe listing of musicMagpie, alongside We achieved four exits from our directfinancial year with significant increases insignificant growth in other assets portfolio delivering 37.0million in cashNet Asset Value (NAV).including Oddbox, Currentbody.comreceipts, alongside a further 17.1millionand SHE Software.in proceeds from these assets to our managed funds:The Native Antigen Company was sold to LGC, a global leader in the Life Sciences Tools sector, for 18.0million generatingdirect investment realisations since iPo to 31 March 2021an 8.4x return on investment cost and a c.65% internal rate of return (IRR) for our direct holding. Mercia first invested in35000The Native Antigen Company in 201130000through its third-party managed funds and from its balance sheet in December250002014. The sale generated a 12.1x return on a blended third-party managed funds20000investment cost and a c.31% funds IRRClear Review was sold to Advanced15000Business Software and Solutions Limited for 26.0million representing a c.2x10000return on investment and a c.72% IRR. The sale also resulted in a c.8x return on5000Mercias EIS managed fund investment cost and a c.122% fund IRR. Clear Review0 Allinea Software Abzena ScienceThe NativeClear Review OXGENEwas first backed by Mercias managedWarehouse Antigen Companyfunds in 2018 before becoming a direct investment in June 2019 Realised gain '000 Fair value movement '000 Cost of investment '000"